Problems (100 Points) 1. Using the data listed below, compute a) Return on Equity. b) Operating Profit Margin c) Asset Turnover Ratio d) Operating Return on Assets. o Balance Sheet 2010 1,280, 307 166,580 10,108 52,380 7,243 3.896 2009 891.977 86,162 2,366 24,669 965 Total Farm Assets Current Assets Livestock Inventory Crop Inventory Purchased Inputs Cash Invested in Growing Crops Prepaid Insurance Other Non-Current Assets Investment in Cooperatives Land and Buildings Operators Dwelling Farm Equipment Breeding Animals Total Farm Liabilities Current Liabilities Notes Payable within one year Current portion of term debt Accrued Interest Accounts Payable Non-Current Liabilities Non-Real Estate Liabilities Real Estate Liabilities Farm Equity 947 92,006 1,113,727 368 994,636 84,986 107.927 10,796 93,076 27,448 12.599 799 52,375 805,815 409 734,108 111,379 66.486 4,812 48.476 14.087 7.463 2.571 4.815 65.628 8.494 57.133 1.187.231 3,763 1,339 2.509 34,388 3.844 30.545 843.501 99. hp Income Statement Farms Gross Cash Income Livestock Income Crop Sales Government payments Other Farm-Related Income Total Cash Expenses Variable Expenses Livestock Purchases Feed Other Livestock-Related Seed and Plants Fertilizer and Chemical Utilities Labor Fuels and Oils Repairs and Maintenance Machine Hire and Custom Work Other Variable Expenses Fixed Expenses Real Estate and Property Taxes Interest Insurance Premiums Rent and Lease Payments Net Cash Farm Income Depreciation Labor Non-Cash Benefits Value InventosChange Non Stone Income Net larm Income 12.275 146,502 32.441 88,519 6,290 19.253 114,813 87.469 500 14.072 869 14,697 28,812 2,027 7,674 6.183 8.561 1.518 2.356 27,344 4.901 5.642 3.788 13.014 31.689 14.498 650 It.289 6,873 30.665 Operating Income Adjusted Net Farm Income 21.00 Problems (100 Points) 1. Using the data listed below, compute a) Return on Equity. b) Operating Profit Margin c) Asset Turnover Ratio d) Operating Return on Assets. o Balance Sheet 2010 1,280, 307 166,580 10,108 52,380 7,243 3.896 2009 891.977 86,162 2,366 24,669 965 Total Farm Assets Current Assets Livestock Inventory Crop Inventory Purchased Inputs Cash Invested in Growing Crops Prepaid Insurance Other Non-Current Assets Investment in Cooperatives Land and Buildings Operators Dwelling Farm Equipment Breeding Animals Total Farm Liabilities Current Liabilities Notes Payable within one year Current portion of term debt Accrued Interest Accounts Payable Non-Current Liabilities Non-Real Estate Liabilities Real Estate Liabilities Farm Equity 947 92,006 1,113,727 368 994,636 84,986 107.927 10,796 93,076 27,448 12.599 799 52,375 805,815 409 734,108 111,379 66.486 4,812 48.476 14.087 7.463 2.571 4.815 65.628 8.494 57.133 1.187.231 3,763 1,339 2.509 34,388 3.844 30.545 843.501 99. hp Income Statement Farms Gross Cash Income Livestock Income Crop Sales Government payments Other Farm-Related Income Total Cash Expenses Variable Expenses Livestock Purchases Feed Other Livestock-Related Seed and Plants Fertilizer and Chemical Utilities Labor Fuels and Oils Repairs and Maintenance Machine Hire and Custom Work Other Variable Expenses Fixed Expenses Real Estate and Property Taxes Interest Insurance Premiums Rent and Lease Payments Net Cash Farm Income Depreciation Labor Non-Cash Benefits Value InventosChange Non Stone Income Net larm Income 12.275 146,502 32.441 88,519 6,290 19.253 114,813 87.469 500 14.072 869 14,697 28,812 2,027 7,674 6.183 8.561 1.518 2.356 27,344 4.901 5.642 3.788 13.014 31.689 14.498 650 It.289 6,873 30.665 Operating Income Adjusted Net Farm Income 21.00
