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* 1. A receipt is a payment received in exchange for goods or services provided. Many farms have numerous sources of receipts and each distinct source should be listed separately on the income statement. Only the receipts and expenses related to a particular year should be included in the income statement.

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* 2. Profit is the difference between total receipts and total expenses for one year.

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* 3. A cash flow analysis does not include (check all that apply):

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* 4. According to Fortier, our natural world is a complex system, but can be viewed in terms of which of the following processes:

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* 5. Buildings are necessary for livestock production and you must have a barn to keep livestock.

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* 6. Livestock and meat prices must exceed the cost of production which includes fixed and variable costs, but excludes labor.

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* 7. Selling on the hoof (also called a custom sale) means you are selling the live animal to the customer and they are responsible for having it butchered to their specifications. Which of the following is/are not true of custom sales (check all that apply):

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* 8. The best way to avoid personal liability is:

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* 9. The best use of your limited resources is to fix the “weakest link” in your farm or ranch system. This link can be social, biological or financial.

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* 10. What is your name (so that we can give you credit if you want to receive the course certificate)?

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