KEAN ROY DETORIO BSA 1

CPUCARES

AEcon. 1301
Laboratory Exercise No. 1

Importance and Uses of Farm Accounting

I. Objectives

1. To know the importance of farm accounting.

2. To understand the importance and uses of farm records and accounting.

II. Procedure

1. What is the purpose of farm accounting?

Answer: Farm accounting presents the opportunity to measure the effectiveness of
your efforts, assist you in determining which ventures are most profitable for your
business, and help you accurately track and anticipate expenses.

2. Give the important ways in which the farmers can use the farm records and
accounts in improving farm management and profitability of the farm business.
Answer: In the case of livestock, the farm should keep records of bloodlines, pests,
disease, feed types and consumption. These records help to prevent inbreeding,
control pests and disease and provide the best feed for optimum performance.
Spending just 10 minutes per day updating records will save you time and money!

3. Write a brief paragraph describing a farm business with which you are
familiar listing the following:

a. kind of farming: I am into Pastoral Farming. This is a farming system in

which the farmer rears animals like sheep, cattle etc on a large scale and
moves them from place to place in search of food and water.
b. Size of the business: 3 hectares is good for a pastoral farming.
c. major and minor product produced or the enterprise engage in: major
and minor product produced or the enterprise engage in.
III. Results: This activity helps me to become good in a proposing my future business. It
also helps me to identify the real purpose of farm keeping and how it is very essential in
making a farm business.

IV. References