Financial Management Resources
Here is a list of land lease resources compiled by the Farm Management Team.
Michael Langemeier
Associate Director, Center for Commercial Agriculture,
Professor, Department of Agricultural Economics
(765) 494-9557
mlangeme@purdue.edu
Jenna Nees
Extension Educator – ANR
Purdue Extension – Putnam County
(765) 653-8411
smith535@purdue.edu
Measuring and Analyzing Farm Financial Performance
This spreadsheet uses Schedule F information (net cash income or net cash profit), and beginning and ending balance sheets to compute accrual net farm income, and key financial ratios and repayment capacity measures.
Measuring and Analyzing Farm Financial PerformanceFinancial Management-Statements & Analysis
Financial management involves the evaluation of liquidity and solvency, financial planning, acquisition and use of financial resources, asset purchases and farm growth, and relationships with agricultural lenders. This series starts by taking a deep dive into the key components of financial statements such as a market value balance sheet, an income statement, a sources and uses of funds statement, and a statement of owner’s equity. Key ingredients to this section include computing the sources of changes in farm equity, and the measurement of profitability and the efficiency of farm asset utilization. With this background, a producer is ready to examine benchmarks of financial performance, repayment capacity, crop machinery investments and costs, and labor efficiency and productivity, and to stress test their financial position and performance.
Financial Management-Statements & Analysis