and liabilities and net worth are listed on the right-hand-side. If we sum the right-hand-side (i.e., liabilities + net worth), it is equal to the left-hand-side (assets) and therefore A “balances.” general format for a balance sheet is presented in Table 3. Table 3. General Format of a Balance Sheet Current assets Current liabilities Cash, near-cash, supplies, $A Accounts payable, accrued $D accounts receivable, crops taxes (property), operating held for sale, livestock held note balance, accrued for sale, cash invested in interest, current portion of growing crops long-term debt Non-current assets Non-current liabilities Machinery, equipment, $B Non-current portion of $E breeding livestock, fencing, machinery and equipment land notes, non-current portion of breeding stock notes, current portion of mortgages Total assets $C(=A+B) Total liabilities $F(=D+E) equity $G(=C-F) Total liabilities + Owner’s $H(=F+G) equity include all cash and near-cash assets, such as savings accounts, checking Current assets accounts, certificates of deposit, bonds, and stocks. Current assets also include all supply inventories, feed, fuel, fertilizer, chemicals, etc. Also, crop inventories and feeder livestock are included as assets. Generally, current assets are assets that will be used or sold within a year. Finally, cash invested in growing crops (such as applied fertilizer, seed, and chemicals) is considered a current asset. are durable or assets. All assets that are expected to be Non-current assets utilized in the business for more than one year are non-current assets. So, farm and ranch machinery and equipment, breeding livestock, buildings, fencing and land are all non-current assets.
and liabilities and net worth are listed on the right-hand-side. If we sum the right-hand-side (i.e., liabilities + net worth), it is equal to the left-hand-side (assets) and therefore “balances.” A general format for a balance sheet is presented in Table 3. Table 3. General Format of a Balance Sheet Current assets Current liabilities Cash, near-cash, supplies, accounts receivable, crops held for sale, livestock held for sale, cash invested in growing crops $A Accounts payable, accrued taxes (property), operating note balance, accrued interest, current portion of long-term debt $D Non-current assets Non-current liabilities Machinery, equipment, breeding livestock, fencing, land $B Non-current portion of machinery and equipment notes, non-current portion of breeding stock notes, portion of mortgages $E Total assets $C(=A+B) Total liabilities $F(=D+E) equity $G(=C-F) Total liabilities + Owner’s equity $H(=F+G) Current assets include all cash and near-cash assets, such as savings accounts, checking accounts, certificates of deposit, bonds, and stocks. Current assets also include all supply inventories, feed, fuel, fertilizer, chemicals, etc. Also, crop inventories and feeder livestock are included as current assets. Generally, current assets are assets that will be used or sold within a year. Finally, cash invested in growing crops (such as applied fertilizer, seed, and chemicals) is considered a current asset. Non-current assets are durable or assets. All assets that are expected to be utilized in the business for more than one year are non-current assets. So, farm and ranch machinery and equipment, breeding livestock, buildings, fencing and land are all non-current assets.
c195ddf0-23d2-4125-a0bd-48a459666b4a.docx