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poe Side of Farming
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PART I
FARM RECORDS

py
a2 "ae BEXELE A. M:,

y DEAN SCHOOL OF COMMERCE
OREGON AGRICULTURAL COLLEGE

SECOND EDITION

Oregon Agricultural Press
’ Corvallis, Oregon
1911

Ruled Blank Books

With printed headings may be obtained from the College Bookstore,
Corvallis, Oregon

By trees sfer

APR 29 1915

CHAPTER

i.
iid.
IV.
ie
VI.
VL,
VIII.

CONTENTS

PART I

PAGE
|bahin2o6 DTCL(0) 2) 689s ae eee nna < ore eae en Begs 7
Objects and Methods of Bookkeeping...... 9
Single Hntry-Harm Accounts ..-.......¢: 11
ID YON) CIES) UT Cea Gah keer en eae 21
ELQusenOld AcCOUMIGis cacats cls ssn ees 32
Lhe chmomale Statement se. . iio: ts c ac ees 37
Copimat Prodiaiot fr34 1025 2 oe Soke 41

Special Records........ ee ee 46

The College Bulletins are sent free on request. (Questions on any
phase of Zhe Business Side of karming will be cheerfully answered.
Address Prof. J. A. Bexell, Corvallis, Oregon.

This desk is provided with a fire-proof safe, combination lock, with ample
capacity for valuable records. See page 46.

THE FARMER’S DESK.

CHAPTER I
INTRODUCTORY

It is a truism to say that the financial side of farming is
of the utmost importance. But the fact remains that this side
of the world’s greatest industry is almost entirely neglected
by both the farmer and the schools. Professor Bailey says on
this subject: “In visiting practically every farm in one of
the counties of the state (N. Y.) we did not find one man who
knew how much it cost him to produce milk or raise any of
his crops.”

Prosperity of the Farmer

The Secretary of Agriculture, in recent Year Books, points
out the remarkable prosperity of the farmer; that the export
of farm products is vastly in excess of all other exports com-
bined; that a million agricultural debtors have been trans-
formed during the last ten years into the same number of
surplus depositors; that, ‘“‘contrary to his reputation, the
farmer is a great organizer, and that he has achieved remark-
able and enormous successes in many lines of economic co-
operation in which the people of other occupations have either
made no beginning at all or have nearly if not completely
failed.” He points out that most farmers live better than the
average merchant or mechanic.

Causes of Success

It is doubtless true that the farmer is becoming a factor to
be reckoned with in the business world; that the average
farmer knows vastly more about scientific farming than his
father did; he understands more thoroughly the value of
proper cultivation, of fertilization, of rotation of crops, and
of diversified farming; but it cannot be said that he owes
his success to improved business methods. He has been suc-
cessful, rather, in spite of his ignorance in this respect, and
because of the lavish generosity of Mother Nature.

Two Phases of Farming

The business of farming assumes two distinct phases: the
productive phase and the exchange phase. The one aims to

8 THE BUSINESS SIDE OF FARMING

extract the treasures from the soil; the other, to place them
in the hands of the consumer. It is important not only to raise
abundant crops, but also to sell the products to advantage.

Importance of the Exchange Phase

The importance of the exchange phase is often lost sight of.
A farm may be forced to yield to its maximum capacity, labor
may be managed properly and waste reduced to a minimum;
and yet the net result may be a loss at the end of the year.
As a general economic proposition, it might be said that large
crops often result in serious loss to society as a whole. If the
net value to the consumer is less than the labor and capital
expended on the crop, society is the loser by the difference.
Hence the importance of a thorough understanding by the
farmer as well as by the merchant and manufacturer of the
laws and methods of exchange or commerce.

Farming a Paying Business

That farming is a science has been emphasized so much that
the fact that it is also a business is often lost sight of. It is
a real business, and one which pays the United States close to
eight billion dollars annually. It has been demonstrated re-
peatedly that no legitimate business pays better than farming.
It may be a little more up-hill work at the start, since most
farmers begin business with small capital, but it is incompar-
ably safer in the long run, and will insure a competence for old
age with greater certainty than any other occupation. But let
it ever be borne in mind that the condition for success is that
farming must be conducted on business principles.

FARM RECORDS 9

CHAPTER II
OBJECTS AND METHODS OF BOOKKEEPING

Accurate records and accounts are absolutely necessary in
the management of every business enterprise, great or small.
No business can be successful in the long run unless its con-
dition can be determined at any time, and no conservative
business man will fail to prepare a financial statement at the
end of his fiscal year. He must determine how he stands, not
only with others, but with himself.

Object of Keeping Accounts

One object of keeping accounts is to assist in accumulating
property. Another important object is to record a continuous
history of business transactions for future guidance. Not
only is this profitable, but it is a source of real pleasure and
satisfaction to know our standing with those with whom we
deal as well as the profits and losses in our business enter-
prises.

What the Records Should Show

A complete system of farm records should enable the farmer
to tell at any time how his business stands with himself and
others; the cost of production of staple crops and live stock
and the periodical results of both the productive and the ex-
change phase of his operations. The records should also show
personal and household expenses, and, finally, a comprehensive
history of the various phases of the enterprise, including plats
of crop rotation, fertilizing, etc.

Difficulties of Farm Bookkeeping

Numerous systems of farm bokkeeping have been proposed,
but the trouble with them all is that they are either too com-
plicated or altogether unpractical. Professor Bailey says:
“The entire subject of farm accounting must be attacked in
anew way. The ordinary bookkeeping will not apply.” The
reason is obvious... Farming is a much more complicated busi-
ness than most people suppose. A farmer is both a producer
and a dealer. He needs financial records as complete as the

10 THE BUSINESS SIDE OF FARMING

average merchant and cost records as accurate as those of the
manufacturer. But the records must be adapted to the busi-
ness in hand. ‘The ordinary bookkeeping will not apply.”
The farmer is usually a very busy man. His chief difficulty
is neither ignorance nor indolence. He has little time for
fancy bookkeeping and still less for ‘red tape.’’ What he
wants is a plain, simple, straightforward history of his busi-
ness, so arranged and classified as to require the minimum
effort to keep it up. It may be interesting for his children to
learn the conventional use of red ink, rulings, closing of books,
the intricacies of journalizing, etc., but all this is not necessary
to a proper understanding of farm bookkeeping.

Methods of Bookkeeping

In the following pages I suggest two methods of farm book-
keeping whereby the yearly profit or loss may be determined
and compared from year to year. The first is extremely
simple Single Entry, while the second method is a comprehen-
sive, but very simple, Modified Double Entry, by which the fi-
nancial standing, the cost of production, profits and losses,
etc., can be ascertained at any time. Any farmer with average
intelligence will be able to master either method with small
expenditure of time and labor.

ALPHABETICAL FILE

FARM RECORDS abl

CHAPTER III
SINGLE ENTRY

The Day Book

The most important record in this method of bookkeeping
is the Day Book, or what might properly be called the History
of the Farm. This should be written in the form of a diary,
without attempting a close classification of the entries. Al-
ways bear in mind, however, that it is safer to give too much
rather than too little information in the records. The Day
Book should contain any memoranda which might prove valu-
able for future reference. Conditions of the weather, time of
planting, breeding, division of fields, sales, purchases, loans,
attendance at conventions, valuable recipes, etc., are proper
subjects for entry. Though it is advisable to keep the book as
neat as possible, it is unnecessary to spend much time for that
purpose. It is more convenient to jot down items in lead pen-
cil as they come along, and then, as time allows, classify them
under their respective heads.

The Day Book and Cash Book Combined

In the form on page 13, the Day Book and Cash Book are
combined. The ruling is that of an ordinary stock Day Book.
In the left-hand column is entered all sums received and in
the right-hand column all payments.

While the combined Day Book and Cash Book has the advan-
tage of extreme simplicity, it is often more satisfactory to de-
vote a part of the Day Book, or a separate book, exclusively
to cash transactions. Where this plan is followed, it is un-
necessary to record all the Cash items in the Day Book. The
left-hand page is used for cash receipts and the opposite page
for payments.

Bill and Receipt File

A very important part of the farm records is the Bill and
Receipt File. A part of the Day Book can be devoted to that
purpose, but it is better to provide a separate book. In it
should be securely pasted all bills for machinery, implements,

THE BUSINESS SIDE OF FARMING

OPENING ENTRY AND INVENTORY

Taolol |

FARM RECORDS 13

Lay Bock, Gul! 17 MNES, oe
a

Re ae as |
A ZH

‘a eo Ee eae eae S|
Pa Se a

DAY BOOK

14 THE BUSINESS SIDE OF FARMING

tools, livestock, nursery stock, furniture, etc., which will be
subject to inventory, but not bills for supplies, feed, table ex-
penses, etc.; also receipts for the payment of money, cancelled
notes, certificates of pedigree, important clippings from peri-
odicals, and any other matter of interest. This will prove an
invaluable record for future guidance. Many prefer the al-
phabetical file, illustrated on page 10.

The Inventory

The inventory may be considered the most important doc-
ument among the farm records, because without it no results
at all can be obtained. It should be taken at such a time as
will give the most accurate results with the least expenditure
of labor. This differs widely in different localities. January
Ist seems the most natural beginning of the fiscal year, but
the objection is that at this time there is apt to be a large quan-
tity of feed and supplies on hand.

April 1st would be a better date so far as stock on hand
is concerned, but inconvenient in many localities on account of
the pressure of spring work. Whenever it is taken, it should
be accurate. No guess work should be tolerated. Weigh
and count; do not estimate. Then assign the actual market
value to the preverty, taking due account of depreciation.

Depreciation

Neither an old wagon nor an old horse is worth as much as
new ones. The same holds true with very few exceptions of
all equipment, animals, houses, and improvements. The ques-
tion as to what rate shall be charged off annually, so as to
create a sinking fund with which to renew the depletion, has
been an open question with accountants since time immemor-
ial. It is particularly difficult to determine the depreciation
of live stock, work horses, and a depletion of the fertility of
the soil. Without entering into a discussion of the subject, I
give below the experience and opinion of the best authorities
on the subject. The thoughtful farmer will find no difficulty
in adjusting these rates to suit his conditions. For the purpose
of general estimates, the following rates on the cost or market
value are fairly accurate:

FARM RECORDS 15

Buildings (including insurance and repairs). 5 per cent.

orses, above 5 Years. . occ... i See ee ae ek 10 per cent.
PRM ORISE ore, Nace GHA Pia, what oleh Sidi bb aes 8 per cent.
Miachinery and) tO0lS. 2.) Gc. wel eelee oe os 10 per cent.

How to Determine the Profits

The all-important question at the end of each year is: Has
the work for the year been a financial success or failure? To
determine the profits or losses is, therefore, a problem to be
solved each year. As a matter of fact, it is a very simple prob-
lem, and it becomes easier the oftener it is done.

Let us assume that heretofore you have kept no books what-
ever, but you have now decided to make a start. You have pro-
cured a simple, substantial Day Book (may be purchased at
any stationery or drug store), and after listing all your prop-
erty, you are prepared to make the entries shown in the illus-
tration. April lst is selected as the beginning of the fiscal
year, because on that date the supplies, grain, feed, ete., are
usually low, and the average farmer has considerable time to
spare. Of course, this varies in different localities, and any
other date may be selected to suit the farmer’s convenience.
The proper opening entries, including the inventory, are
shown on page 12.

A Year Later

A year has passed and we are now ready to determine the
result of the year’s work. Since we have kept the only mem-
oranda in the day book, the best we can do is to take another
inventory exactly similar to the last one. This we will now
proceed to do.

The second financial statement and the statement of Profit
and loss are illustrated on page 17.

Net Earnings

The net profits shown in the illustration, page 17, include
the interest on the investment and the wages of the members
of the family. To find the net earnings of the proprietor, the
value of the household goods, life insurance, cash, and the
cost of the dwelling should be deducted from the last year’s
inventory. Then find the interest on the remainder at a fair
rate; this deducted from the profit gives the earnings of the

16 THE BUSINESS SIDE OF FARMING

family. This is illustrated further in Lesson 11. If members
of the family, engaged in productive work, receive regular pay
before the statement is made, the final result is the net profit
above wages and interest. The question might be asked: why
deduct the value of the dwelling before the interest is taken?
The reason is that the dwelling is not a productive investment.
It is apt to be more or less valuable than the average standard,
according to the taste and ability of the owner. Amounts
drawn for personal use should, of course, be added to the net
earnings.
Continued Inventories

It is often convenient to tabulate the annual inventories as
follows:

= April! | Aprill | Aprill April 1
ITEMS {908 1909 1910 1911
Farm, 160 acres (market value) .| 8000 8620 |
EO MUGC eyes oars Wat orem neis ston aes oe 507|50 547|86 |
STOCKMee state nase. koaayolenamic cman: ee 1959 1966 | |
LONE 5 bo oe Co oo Coosa mero%o a. cifoee svete | |
bite. InSuTranece ss: auch, cette Seno 964/36 | |
CIT Ty ae eee Ree Ne a 170 126/04] | |
Mota ck. oka ee ee | |

Personal Accounts

A farmer frequently retails his products to his neighbors or
to townspeople, if he lives near town. In such cases it often
happens that he can sell to better advantage by running an
account with steady customers, collecting by the week or
month. If this phase of the business is extensive, as is the
case in truck farming, dairy, poultry, and the like, it would
pay the farmer to provide tickets or coupons and sell five or
ten dollars’ worth in advance even at a small discount. But
generally an account with each customer, kept either in a sep-
arate book or in part of the Day Book, will be found satisfac-
tory. However, most farmers sell their products for cash, or
exchange for merchandise, which is equivalent to cash sales.
It is, therefore, unnecessary to enter into an elaborate dis-
cussion of keeping such accounts.

Some farmers, very unwisely, attend to the personal busi-
ness of their hired help, even to the extent of buying their
smoking tobacco. There is absolutely no excuse for such a

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FARM RECORDS

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SECOND FINANCIAL STATEMENT

THE BUSINESS SIDE OF FARMING

PERSONAL ACCOUNTS

FARM RECORDS

DOUBLE ENTRY LEDGER

20 THE BUSINESS SIDE OF FARMING

practice. Rather pay your help in installments and let them
settle their own bills.

Accounts with persons we owe are generally unnecessary.
Most merchants furnish either a pass book, in which the ac-
count is shown in detail, or an itemized bill is furnished with
each purchase. These bills should be pasted in the Bill File
and checked off when paid. In the great majority of cases
this will prove more satisfactory than ledger accounts.

A special ledger can be provided, or separate pages of the
Day Book devoted to special accounts. This classification is
made either daily, weekly or monthly, as time and circum-
stances allow.

FARM RECORDS 21

CHAPTER IV
MODIFIED DOUBLE ENTRY
Ancient Methods

Not many generations ago it was considered sufficient for
the average manufacturer merely to record his cash receipts
and expenditures and to keep a tolerable accurate check on
the cash balance. In many instances, the left trousers pocket
served as the debit side and the right as the credit side of the
“Ledger.” Modern business methods and sharp competition
have changed these notions until today it is necessary to know
the cost of production in advance to the smallest detail.
Ancient business methods prevail yet, very generally, on the
farm. The wonderful progress of the American farmer is
due to marvelous natural resources, labor-saving inventions,
and natural ingenuity, rather than to wise and prudent man-
agement.

Necessity of Careful Management

In certain respects, a farmer must combine the methods of
the manufacturer and the merchant. He must learn, not only
how to increase production, but also how to facilitate the prof-
itable exchange of his products. He must reduce the cost of
production to the minimum by increasing the quality and the
quantity of his products, and by getting full value out of labor.
He must manage so that his working force, farm hands, chil-
dren, horses, all, are constantly employed. This requires most
skillful management in the rotation of crops, in the division
of labor, in selecting seeds, fertilizers and stock; and, above
all, it requires general prudence in purchasing equipment and
supplies, and in marketing products. Progressive farmers
require a variety of records to assist in the proper manage-
ment of their business. A first-class set of books is just as
indispensable to them as to the banker or to the manufacturer.

Superiority of Double Entry

A careful comparison of the results obtained in the last
chapter with the balance sheet given on page 39 will convince
the reader of the superiority of double entry. It will be ob-

THE BUSINESS SIDE OF FARMING

19 08

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FARM RECORDS 23

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CASH BOOK

24 THE BUSINESS SIDE OF FARMING

served that the only result obtained by a comparison of inven-
tories was the net profit or loss. The source or causes of these
results cannot be obtained by this method. The method sug-
gested in Chapter III has this advantage: There is not a
farmer so busy or so ignorant that he cannot adopt it and
derive great benefit from its use. But the ambitious, pro-
gressive farmer will not be satisfied with this primitive
method any more than a wide-awake merchant will be satis-
fied with single entry bookkeeping. He will adopt a system
which will give him at any time reliable information as to his
financial standing, cost of production of crops, live stock and
poultry, household expenses, etc., and by which he can prove
that his work is correct.

Single and Double Entry Compared

The distinction between single and double entry is unimpor-
tant for our present purpose, but it may be a satisfaction to
the reader to know that the method we are now to consider
is double entry in a modified form. The important distinc-
tion between the two methods is that in double entry
accounts are kept with persons, property, and allowances,
while in single entry accounts are kept with persons only. In
double entry there is a corresponding debit for every credit;
the total debits and credits must, therefore, be equal, and must
balance at any time. This becomes clear by referring to the
Cash Book below. In the first entry, the amount is entered
in both the Total and in the Sundries column; and the same
is true of all the sueceeding entries. Hence the sum of col-
umns four to ten.inclusive must equal the total in column
three. You will find the same to be true of the Payments, and
of the Household Accounts.

Additional Books Needed

Very important books in double as well as in single entry
are the Day Book and the Bill File. They are to be kept in
exactly the same way as suggested under single entry, except
that no cash entries are recorded in the Day Book, which is
kept only as a diary. The important consideration now is to
adopt additional records that will furnish the necessary in-
formation in systematic and tabular form, and requiring the
minimum amount of labor.

FARM RECORDS 25
The Cash Book

The Cash Book is the basis of classification. A very con-
venient form is given on pages 23 and 24. The special col-
umns take the place of a ledger. All money columns except
the total column will be referred to as Distribution Columns.
They are in reality separate accounts, and this form might,
therefore, properly be called a combined Ledger and Cash
Book. The form suggested has the important advantage of
being self-balancing. A trial balance can be taken at the end
of each page, month or year, as illustrated on page 33. The
process of preparing a financial statement becomes extremely
simple by this method. A few observation regarding equip-
ment and supplies, improvement and repairs will be of assist-
ance in using the distribution columns.

Equipment and Supplies

In accurate accounting, the question often arises: What
shall be considered equipment, and what supplies? Supplies
are defined as expendible or consumable materials, which are
incapable of being used more than once; while equipment is
of more permanent character, articles which can be used re-
peatedly. Fuel, lubricating oil, cotton waste, feed, etc., are
supplies; while machinery, furniture, and apparatus of all
kinds are equipment.

Improvement and Repairs

The distinction between improvements and repairs is not
always clearly understood. An improvement adds value to
the property, in the shape of equipment, buildings, drains,
fences, and the like; while repairs merely keep up the prop-
erty. A coat of paint on an unpainted building is an improve-
ment; repainting is classed under repairs. This distinction
is very important in making an inventory. Improvements are
added to the inventory, repairs are not.

Cash Balance and Sundry Columns

The cash balance is found as follows:
NCEP? GICSI G12 recat OE aS aa ear $653.14
ure RUE SIME MIL 6S ca ccci sou taco nini.s agate evdeeo S\acsnor 578:80

EMR COM os enti air ele Os teat ke $ 74.34

26 THE BUSINESS SIDE OF FARMING

Note that the totals of columns four to ten equal the total
of column three; and that columns fifteen to twenty-two equal
column fourteen. The Sundries column contains all entries
which do not fall under the special columns. At the end of
the year, the items are segregated under various titles. The
segregation for the month of April is as follows:

Sundry Receipt Column (10):

PAN ANICO! ass. ccs: oconae & cgsee io 1 ee ee $126.04
THANG OP i oc Ste ardrede 8 naar eos ee ee 10.00
WOOG! fois cs, Sastecs bd ole eae, Soe, sae Oe ee 22.40
Potal ss. cccs eusiers wick ele eaedls ae $158.44
Sundry Payment Column (22) :
INtereSt: Jac.'ca cet as eee ee $ 22.00
BANGS! 4. 5.Shscs Wiese Me eine cee eee 33.40
Aecounts: Pays Oks 2) oe oo ee 15.80
INSURANCE soa: eas = Ga Oe eee 35.10
Totaly.S ost eee ees Se eee $106.30
Improvements and Repair Column (21):
Improvements? 3-0-8 Oo. os See ee $ 80.00
IRODAINS: oct Done te heed a eee 34.60
Potals 7. Wy 0 oe ae one eee $114.60

Trial Balance

In the language of the accountant, a trial balance is a test of
the equality of the debits and credits in a set of double entry
books. Our trial balance is much simpler; it is simply a test
of equality of the total columns and the distribution columns.
In the Cash Book, merely add the distribution columns on each
side and note that their sum equals the respective total col-
umns. The Household and Shop accounts are balanced in the
same manner.

Banking

The enormous increase in bank deposits in rural communi-
ties is the best evidence that the farmer is beginning to
appreciate the value of better system in his finances. It is
claimed that fully ninety-five per cent. of the country’s busi-
ness is done by credit currency, such as checks, drafts, moncy

FARM RECORDS 27

ay Tess Perrys dS Oe Becoanhile zens Nel Bank

Yate Zi
log ae
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BANK ACCOUNT

28 THE BUSINESS SIDE OF FARMING

orders, notes, and the like. Many good business men keep only
their bank book, and this is far more satisfactory than no
bookkeeping at all, especially if bills and receipts are filed for
reference. The bank account may be carried entirely inde-
pendent of all other records.

Banking carries with it many advantages. Important
among them are :—

1. The depositor’s credit and influence are measured
largely by the size and regularity of his bank account.

2. A tendency to economize by a desire to increase the
bank balance.

3. The banker becomes your bookkeeper and _ business
counselor.

4. Security against fire and robbers.

5. Indorsed checks are both records and receipts of pay-
ments.

6. A benefit to the community by keeping the money in
circulation. |

7. Convenience in making change.

8. The bank will always loan to a good depositor in pref-
erence to one who is not a depositor.

There are only two operations in banking which need dis-
cussion here—depositing and checking. The banker will give
all necessary directions regarding both, except as to keeping
the individual account. This is illustrated on page 27, and
will be thoroughly understood after Lesson 5 has been
worked out. The special column Cash Book, pages 22 and 23,
is an excellent form for keeping the bank account. [f all
cash is deposited and all payments made by check, the dif-
ference between the total columns represents the bank bal-
ance. As to deposits, it is preferable to deposit all cash, and
then draw out for personal use as needed.

The method of handling checks is as follows: Record the
payee, number, the amount, as illustrated under Cash Pay-
ments, page 38. The checks are satisfactory receipts, but the
itemized bills should be pasted in the Bill File and bear the
same number as the checks. The bank will usually furnish
all necessary stationery free of charge. The bank balance is
considered a part of the cash on hand, so that no special
account except the check stubs and pass book need be kept
with the bank. The bank balance is proved each month as

FARM RECORDS

S L KLINE, Proprietor

woo.

MOMAIR
A SAFE PLACE TO TRADE CASCARA

CORVALLIS

Eisen
Oct. Srd,

SOLDTO Kartin Harris, Blodgett, Oregon. 1908.

M___Martin Harris

Wagons, To R. H. HUSTON, Dr.

Hance Macioey. | SHELF AND HEAVY HARDWARE
“Al Kinda Took, | AeSestalLnphemens, Wagon, Caninges, Ee
Fine Culery- | STOVES & TINWARE. Plumbing a Specialty.

ight por cont. charged ca all ovatus accounts.

Terms C86

Diamond Hay Carrier

lbs. Manilla Hay Rope #2"
Hay Pulleys

Hay Fork

Corvallis, Oregon,

we Aforth In account with

©, J, BLACKLEDGE

GENERAL HOUSE FURNISHER

CARPETS, LINOLEUM AND MATTING ENS
UNDERTAEING “AND BMBALLCNG

BOTH PHONES

Ouky $ ee a 20.00
she | Lape

& OO

Oh A ey 2 4016 —
IF. 00

BILL AND RECEIPT FILE

ESTABLISHED
Lunes (Cy

30 THE BUSINESS SIDE OF FARMING

follows: Arrange the checks returned numerically.- List the
checks not returned; add the outstanding checks to the bal-
ance shown in the check register; the sum should agree with
the balance in the pass book. It is often convenient to keep
a special check register. Page 27 is a convenient form,
showing the method of proving the balance at the bottom of
the page.
The Ledger

With a special column cash book, the ledger can be dis-
pensed with in most cases. The further classification of the
sundry columns can be done at the end of the year, as illus-
trated on page 26, and a few pages of the Day Book can be de-
voted to ‘““What We Owe Others” and “What Others Owe Us.”
Where a special ledger is found necessary, the form shown
on page 18 can be used.

The old style ledger possesses some advantages over any
other form. The debit appears on the left and the credit on the
right side on the same page. It is used in either double or
single entry. The difficulty of keeping the ledger in balance
prevents the use of the double entry ledger to a very large ex-
tent. This is especially true if an attempt is made to use the
ordinary Journal.

Direct entries into either the double or single entry ledger
present less difficulties, and the method is recommended where
the classification of accounts is such as to make the combined
Cash Book and Ledger unpractical. This need scarcely ever
be the case, however, because if ruled sheets cannot be obtained
without headings, a blank sheet may be ruled with any number
of columns and headed with titles to suit. For example, an
orchardist would head his Receipt Columns: Apples, Prunes,
Peaches, Small Fruits, ete. While an exclusive stock farmer
would devote special columns to the different kinds of stock.

The advantage of the ledger method is that each account is
more condensed, while the self-proving and labor-saving fea-
tures are important in the Special Column Cash Book. Prepar-
ing a trial balance and balance sheet, and closing the ledger
properly, though very simple for the experienced accountant,
requires a proficiency in bookkeeping that few farmers pos-
Sess.

On page 19 is an illustration of the ordinary form of direct-
entry ledger, showing the entries for April 1st. Compare these

FARM RECORDS 31

with the first entries on pages 23 and 24, and note the similar-
ity of results. In the form on page 19 follow the arrows and
note that there is a debit for every credit, and vice versa. In
the column marked (a) is entered the Day Book page, if the
entries have been previously made in that book.

The Voucher System

It is often preferable, especially on a large farm, and in a
corporate business, to pay all bills by check. When this plan
is followed, it is unnecessary to copy the items, as in the illus-
tration, page 24, but merely to write the name of the payee
in the items column. The distribution should be noted on the
bill or voucher, and all the vouchers, together with the can-
celed checks, should be filed in envelopes, properly numbered
to correspond with the number of the check. The accounts
are fully illustrated on page 38.

Adaptation of This System to Any Business

The foregoing system of accounting can be adapted very
readily to any business, and it is especially recommended for
a cash business, where the personal accounts are few. Instead
of Hay, Grain, etc., the orchardist would head his columns
Apples, Pears, etc., while other enterprises would use head-
ings best suited to their business.

Orchard Accounts

On page 38 will be found two illustrations of the voucher
system and the proper classification of orchard accounts. The
only difference between the two forms is that Form B has
a larger distribution of the payments and a smaller distribu-
tion of the receipts. Blank forms, No. 14-15 for A, and 16-17
for B, can be secured from the College Bookstore. The Assess-
ment column in Form A, Receipts, is used in a corporate
business. The personal accounts can be carried as illustrated
on page 18, and the Special Records in Chapter VIII can be
modified very readily to suit the needs of any special business.
The continued inventory, illustrated on page 16, is recom-
mended.

32 THE BUSINESS SIDE OF FARMING

CHAPTER V
HOUSEHOLD ACCOUNTS

It will be seen that no provision has been made in the Gen-
eral Cash Book for separate items in the household accounts.
This is left for the housekeeper. The fact that her field is
somewhat limited, from a business point of view, is no argu-
ment in favor of loose and careless methods of accounting.

Most housekeepers prefer to receive a fixed allowance for
household expenses, whenever it is practicable. For the pres-
ent purpose we will suppose that the following agreement has
been entered into between the farmer and his wife. She is
to receive the following:

Monthly Allowances for Household and Personal Expenses

For propfietor: and “witee 22.525. 2.2 Se see $25.00
Boarth dor hired.help2sRss ss das aces eee 15.00
Kor four-childrets «.2:: dma oie a eae ee eee ae 32.00
OMIT PICS 500005, Sos & aco erin ta es en oe Eee 18.00

otal niu Gis weenie bende Met ise See eee $90.00

In addition to the cash allowance, vegetables, poultry and
dairy products are furnished from the farm at market price.
The proprietor gives his wife an allowance of $90 each month,
either in one or in several payments, and enters it in his cash
expenditures. His wife, in turn, enters her allowance in her
record. Bills for furniture, clothing, and utensils are pasted in
a Bill and Receipt File, same as in the Farm Accounts.

Note that the items entered in columns one and two are also
entered in columns eight, nine, or ten, since they are purchases
from the farm. Because they are entered both as receipts and
payments, they do not affect the cash balance.

At the end of the year, the proprietor enters the totals te
columns one and two in his cash receipts, under the proper
headings, and at the same time they are entered as cash pay-
ments in the household column. See page 22, under April 30th.
Thus the farm will receive full credit for what it sells to the
household as well as to others.

It is suggested that the housekeeper open a private bank
account and pay large items by check. See April 13th, 29th

FARM RECORDS 33

and 30th. There are numerous advantages in keeping a bank
account. See page 26. A bill for furniture, utensils, and im-
provements should always be taken and pasted in the Bill File.
It is convenient to number the bills the same as the checks, as
suggested in column six. Since endorsement by the payee
constitutes receipt, it is generally unnecessary to take receipt
when payment is made by check.

Page 34 shows a convenient form of a combined household
Cash Book and Ledger. A summary of the receipts and pay-
ments is prepared at the end of the year, as shown on page 36.

Trial Balance

MMT Fog dN Sy oie «ox oy unde «sere Foam ale sea tee Gee $ 13.05
I See ek he an od Ace aaa mee 11.80
ERE TEV Secs cae 5, fina So, og ns oe dons a 12.40
EU ec oie, evga ela len's oi epals, sve ocala ateataertantene 16.85
Semmemittee ANG. WLENSUS, . 6. ois ae civ ee es woe oe eee soe 22.05
IR LITOT Yo. cad a oles o ole a calc de amines 11.60
LMR Eo DO S| 6.65
NS oh SS ece uc o aiecle Wa ae db ele dwioe eae 6.10
og ea i hod nn Wa as de See ee eee eae ae 2.35
MS. raed knee cd dye o 39d RG 3 a-e & cisahea dew eceee 1525
erated) IRECTCALION. 2 0s... we eee tgs ces eeas 3.00
MEER oir ae eo ahr a gre registdialdoe ew ace ee ea rete ae ol be 2.65
ey oreian and Medicine .........5...-000 Nolaltisthtice 1.50
MRI CUT og yl Sa a 0 ahaa es ie a ao gence le ard eeu 1.50

Paper oe Sd coe oes Glahtl Santen ale aya) haan $112.75

The Voucher System

It is often preferable, especially in a large household, to pay
all bills by check. When this plan is followed, it is un-
necessary to copy the items, as in the illustration, but merely
to write the name of the payee in the items column as
shown under April 29, Murdock Grocery Company. The
distribution should be noted on the bill and all vouchers to-
gether with the cancelled check should be filed in envelopes
properly numbered to correspond with the number of the
check.

_ See illustration, page 38.

34 THE BUSINESS SIDE OF FARMING

HOUSEHOLD ACCOUNTS

RECEIPTS = 5
Dairy, | rroouct MATE iTeMS o
Poult
My, V4
5 | 5] OD a 2 e FORWARDED
4

LL LAOS Lcd LD
i alizs 2 Pee eee Be Ar i Ee a ea
Lo} 4 [| BE) ee 4o¢ (P): Leo age SU, te STDS V4
5}

| / 6 nif ee pees $0, Heckler 25¢_
5] 7 coe = Lha ge, 25¢: Oi el Lag Zod
Dita te Ape Gn: exe 256 Le it if oe
mae fest ai
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Jo
ata
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aia | a
+ WFO preg pe
+ md o 4 ag
eA Ih.
6\50 50 ¥ Ie ES
o (2) ol / FORWARDED
/ 2 3 Sr

HOUSEHOLD

190f

KE d

uremsics| Launury | L'8P,

PAYMENTS

FURNITURE

FARM RECORDS

FOR THE MONTH OF

y DAIRY
= pourtry | CLOTHING

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leases ec i saci tera tel tae
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Macnee Reanim atcitie ee ci eee LCL
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aie ale oleae ee ae epee | ot etemieveleiel sito) lc bist obese a
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SoCs ES ee a eames ole las eimaen BS
es |e) fe (as | a | | ef] a fee ee ee Oe 2 a i |
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CASH BOOK

THE BUSINHSS SIDE OF FARMING

Sue BO ae

eS a Re 2

ES | Seas hn oe SS

|} SH SS :

SUMMARY OF HOUSEHOLD ese are J, ee!

ted unden “Special Akcou

dlumns jay be segrega

NOTE [The ittms ip the '{Sundgies” ai
SUMMARY OF HOUSEHOLD ACCOUNTS

FARM RECORDS 37

CHAPTER VI
THE ANNUAL STATEMENT.

The annual statement exhibits in a condensed form the
financial operations for a given period. It shows the resources
and liabilities, the cash receipts and expenditures, the profits
and losses, the net profit or loss, and the net worth. It enables
the proprietor to analyze his business with considerable ac-
curacy and to trace the sources of profits and losses. There
are various forms of statements, but the illustration on page
39. seems best suited to the farming business. Statement
No. 3 shows the results of a month’s business only. The
inventories are obtained from separate schedules and the cash
receipts and expenditures are the totals found in the Cash
Book.

The revenue accounts, or the accounts showing profit or loss,
are fully analyzed on page 40. This is wholly independent of
the other records. Three or four of the principal enterprises
may be analyzed, as in the illustration, or the statement may
go into greater detail to suit the condition of the business. In-
dividual cost accounts are illustrated on page 43.

The method of preparing these accounts is as follows: Take
the Grain account for example. We debit it with all the items
that enter into the cost of its production, and credit it with the
returns. The first item of cost in last year’s inventory
Financial Statement No. 2; Lesson 4), is $377.86; Labor
(Horse and Man, from Labor Record), $440.00; Interest on
the value of Land devoted to Grain (56 acres @ $55.00 per
acre), 6 per cent., $184.80; Seeds and Fertilizers (Cash Pay-
ments), $129.71. The returns are: Present Inventory,
$380.00; Cash Receipts, $712.43; Fed to Stock (Feed Record
assumed), $770.07; Fed to Poultry, $50.00. From this we ob-
tain the net profit, $780.13.

In a similar manner we consider the Stock account and the
Hay account. The illustrations, pages 39 and 40, show the
figures supplied from each account.

It should be borne in mind that this exercise in cost account-
ing is only suggestive. The principles are fundamental and
correct, but their application in practice may vary greatly.

THE BUSINESS SIDE OF FARMING

as | 1668 (e) 4

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920 eae gh Ea SIG SLNAWAVd HSVO % O761 ee, SLdIdOIY HSVO

eprey eas % med wpieooy mUNd HOON >) BLeR

ORCHARD ACCOUNTS

FARM RECORDS 39

Thus, some farmers will charge live stock a certain amount
for housing, perhaps also for the use of utensils, machinery,
and the like; others will insist on deducting the cost and care
of the dwelling from the annual farm inventory, since this is
not capital invested in the business. For a full discussion of
this subject, see Bulletin 73, Bureau of Statistics, U. S. De-
partment of Agriculture.

Financial Statement, Year Ending ete 4,.. 19/2

Cash Receipts and Payments

REcEIPrs PAYMENTS
Grain, «dc. ee ae $.. LG #3 Household and Personal ..... WARE. Go
Ws ois acts A OSS oRootte ead .. 4204.20 Seeds and Fertilizers. .. ..... LAG Lf.
Orchard and Garden ......... WAGIS. 60 Hired! Gaborsts 25.0 sc acenes FBS) 7.0
DIROGIM ts Wie icici Pincrs tra -ciev we ‘ 00). . General Expense and Marketing - 2&9, A vy
Meehan 4 08 Le Stock and eed... ..../0.... -. ALAS LZO
GA3AF Implements..... Bo tae ; 2235).76

Improvements... .......... eae Ke)
Repairiiemencts. 0am : ee eh #0

Sunpries (itemize below) ......

Resources

Farm (market value).......... 42) Hired Labor ........... yeep ope AAG
Cash and Bank, as above ...... Bee Bills)Payable. ce. casecslese sce
Life Insurance, paid up value.. /.¢. Accounts Payable ............
LORIN Garten = <i n.acintiw Werte SG 4 Giktanda; 50h boacantten tose:
ee toon anf trek eer teen ere R READ Bom ascitic hots
MOP EE OADE oo ces bat Leaner” SAA oo ere one
IDRINVEETOCUCEAI(E) ie cccc cece. | eee sles wees Bile coca tranacrererie etcetera
Bonltryn (i) iicctesescdse ns: BARC le a See Mn OR Acari CoA CAOL cee wea cewersal ass
Implements (a).........-... : Sa ALE ey Viera Seiad a]stedabtatel eens ystestese seein | stehets sate lloret a
Household Goods (a)........-.. WAN PD ol See ae ain areremessiats AN BN Aor oe cl od
General Supplies (a),........-. AF ZO. ACs Pano codaeneionacnidosod. § asooneed acta

(a) As per Inventory. (b) Difference between Receipts and Payments.

Statement of Profit and Loss

Natrorihiseisbovelt eee ans ceeecioe lf F MA
Rant os as Vaso GE
Gain for the year .... ....- Se eee 8. /OIATE
ees carat anncebient 7 6 He aeaetelsie 3 Bes Pe

LGREDINGG ocr. cejas= ce) see wiele, visinie 8. f1.8\ EF
xX Of a od, See fa esSS and 4b

GENERAL BALANCE SHEET

40 THE BUSINESS SIDE OF FARMING *

ee
Accounts Showing Profit or Loss, Year I ess 19/9

(Amounts are taken from Inventories, Cash Book, and Special Records.)

GRAIN

Cost. Returns.

Inventory last year Present Inventory.........-...-
Babonc.a ceases es serie BOF: . Receipts from Sales
Ipiere bon Val of Land... LEA £0 Fed!'to:Stoek. 225 cs0 sc
Seedy Fer agers , Oa S. : LAG. F/. Fed to Poultry......
Piet Profit bsz-Licwedodas sos lore CeO | Ae Oe iat aianaene he eee
Motaleitrstis sisiects $47 /2)F0 Total
STOCK
Cost Returns.

Inventory last year ...... .-.. 8/906). dete Present Inventory.......... ... s/GLE. Joe
Tiahovn Sse yst es. Wit cee eteteiels Sole POIons Receipts from Sales............. LZOCI
Graitig haet po tnace eee en ieee i 472. O72 Receipts from Dairy............ LOSE) LZ
Haye tack e- a untactemsnees Ae 749\ 80 Labor (Cash Receipts... ...... ey ar ee
Intarestian, Inventory last,years.. ° .-AAGUuGG 22s sc fee al nen Gg eas eee eters
Pasturage on Land............. 5 ABN Me aS shea Se ance Na eae ee este

Rb. .00. inte Maan autanee ee ie 5 Ma PEAR Be EES APA Rood y ules eGeo0: Cone

ORCHARD AND GARDEN

Cost. RETURNS.

Inventory last year ............ Bitte ore cetial| errs Present Inventory.............- L Beaeriel Mane
Mabon and Marketing su tejcreie laos sineisa| frre Receipts 22... «joc lesieets tere os aes bc ve eae [ete
Tniterestion, Gand <0 jo:c:sfcses. ex's 1 tore sYeistseellemtne >. prayelersissete laters aysuzte) alates afotomepatenate) Ber ors me nee |e

SAAC Totalls.cv.. Sescte Si cc0 eel eae
HAY

RETURNS.

Present Inventory: .:...)..2..4.

Receipts... Bonini ahomiton

Fed ito: Stocizays once ceeiece

Total. vemiae\ eres
RETURNS.

Totals oo. ire kere

GENERAL BALANCE SHEET

FARM RECORDS 41

CHAPTER VII
COST OF PRODUCTION

Too often a good farm is compelled to carry unprofitable
experiments and the whole business is pronounced a failure
without an adequate attempt to find a remedy. In addition to
the foregoing records, Mr. Harris has kept accurate cost ac-
counts of the main branches of his business. In cost account-
ing there are four principal elements to consider: Cost of
material, labor, interest, and depreciation. The cost records
are independent of all the rest and may be kept of every branch
of the business, if desired, or limited to one or more phases.
In this instance, cost records have been kept of Live Stock,
Grain, Hay, Dairy Products and Improvements. The Agricul-
tural Experiment Stations are always willing to give the farm-
er important advice and assistance regarding the stock, grain,
fruit, etc., best adapted for different localities and purposes.
But conditions frequently arise where it is important for the
farmer to carry on his own experiments. Your own Experi-
ment Station will doubtless be glad to co-operate and suggest
methods for carrying on such experiments even to the extent of
furnishing necessary blanks and material. Important bulletins
on the subject may be had for the asking from uke Department
of Agriculture, Washington, D. C.

The following announcement in the Crop Reporter for May,
1908, indicates what the government is doing in this direction:

Cost of Producing Farm Products

“The Bureau of Statistics is making an investigation of the
cost of producing farm products in different parts of the
United States. Blank forms have been printed upon which
to make reports, and this Bureau desires to receive the names
of such farmers as have kept records of cost of producing
crops, or are well informed upon the subject of cost of crop
production in their locality, in order that blank schedules may
be sent to them to fill in. Individual reports will not be pub-
lished—only the average of many reports. Names should be
sent to the Bureau of Statictics, Department of Agriculture,
Washington, D. C.”

42 THE BUSINESS SIDE OF FARMING

Every farmer should avail himself of this important free
service. ‘‘Keeping posted” is one of the characteristics
of the progressive and successful farmer. There are two ex-
ceptionally valuable bulletins on the subject which ought to be
in the library of every farmer: U.S. Department of Agricul-
ture, Bureau of Statictics, Bulletin No. 48, and Universi of
Minnesota, Agri. Ex. Station, Bulletin No. 97.

Live Stock

Hither of three methods may be employed in finding the cost
of live stock.

First Method. Ascertain exactly the total amount of grain,
hay, and roughage on hand at the beginning of the year, and
produced during the year. From this subtract the quantity
sold, including amount used by the household and for seed, and
the amount on hand at the end of the year. The difference is
the quantity used for live stock. The value at market prices
is the expenditures of feed for live stock.

Find the total amount received for dairy products, including
amount used by the household. The difference between the
cost and the receipts is the gain. The disadvantage of this
method is that no account is taken of individual animals nor of
different kinds of stock. The herd as a whole may be a paying
investment and still there may be individual animals carried at
a loss. It is desirable that such records be kept, at least occa-
sionally, as will enable the farmer to eliminate unprofitable
animals.

Second Method. The following actual record of a dairy
herd of twelve cows illustrates a much more satisfactory test
than the preceding. Individual record was kept of the milk
produced by each cow, but the feed was weighed for the entire
herd, and the average cost charged to each animal at market
prices.

With this average before him, a careful feeder will be able
to make mental corrections for each individual animal, accu-
rate enough for most practical purposes. The milk record has
been kept, as illustrated on page 49

FARM RECORDS 43

te tear TEE oe

~“
IN

COST ACCOUNTS

44 THE BUSINESSS SIDE OF FARMING
Test of Dairy Herd for March, 1909

No. Lbs. Milk Lbs. Val. at Cost of * Net
Cow. for Mo. *Test. Fat. 3 6c. Feed. Profit.
ig 465 4.5 20.93 $ 7.53 $6.21 $1.32
2: 372 5.0 18.60 6.70 AQ
3 620 5.0 31.00 11.16 i: 4,95
4, ala 7.0 26.04 9.37 3 3.16
5. 496 4.8 23.80 8.57 os 2.36
6 682 4.7 32.05 11.54 a5 5.33
7 558 4.4 24.55 8.44 re 2.20
8. 620 4.1 25:42 9.15 Bi 2.94
9: 496 4.2 20.83 7.50 a 1.29
10. 651 4.9 31.90 11.48 i, 52
ik 558 5.0 Zio0 10.04 9 3.83
Le: 589 5.0 29.45 10.60 - 4.39

*These figures were obtained by the Babcock test, which is de-
scribed in every modern work on dairying.

Feed for the Month of March

Hay; 45900° Ibs: ‘at. $9.00%per ton: 273... ee $22.05
Kale, 9;600 Ibs. at $2.50: per toneas..5 eae
Bran, 1,800 lbs: at $20:00 per tony... eee 27.00
Shorts, 900. lbs: at $80.00‘per tons: eee 13.50

ol Wo 7 Wh aecene ccleaner Men Spi Ph nie ule $74.55

74.55 divided by 12 equals 6.21, average cost of feed.

Third Method. The difference between the second and
third methods is that in the latter accurate records are kept
of individual feed rations, while in the second method an aver-
age is taken. The error resulting from averaging the feed be-
tween all the animals in a large herd may be such as to unduly
favor certain animals and do injustice to others. The only ab-
solutely accurate method is to keep an account with each ani-
mal; at least with such animals as show a tendency to be un-
profitable. Page 43 shows an individual account with one of
the milch cows on the Harris farm. It is arranged on the
regular Ledger form. Opposite pages of the Day Book may
also be used. The detailed information regarding Feed, Milk,
Labor, etc., is found in the respective records, illustrated on
pages 49 and 50 respectively. Similar accounts are kept of
each animal, tested preferably during the entire lactation

FARM RECORDS 45

period. It is only in this way that the careful farmer can de-
termine whether each animal is kept at a gain or a loss. The
weeding out of one or two unprofitable animals a year will
pay for the labor of keeping the cost records many times over.

Cost of Crops

The principles laid down in respect to the cost of animal
products hold true also for the cost of farm crops. Two meth-
ods suggest themselves. Accounts with the various crops and
accounts with the different fields. Either method requires de-
tailed records of the labor, seed, fertilizer, etc., expended on
the crop and of returns not only for cash sales, but for prod-
ucts used by the household and for feed. On page 43 is illus-
trated an account with the wheat crop in 1908. Only one item
needs explanation, that of depreciation, due to continuous
cropping. Whether the rate, two per cent, is too high or too
low, matters little; the important point to be emphasized is
that the value of the land diminishes unless rotation of crops
is practiced.

46 THE BUSINESS SIDE OF FARMING

CHAPTER VIII
SPECIAL RECORDS.

There are several convenient special records which ought to
be adopted, besides those I have illustrated. It is not neces-
sary that expensive printed books be provided. A plain sheet
of paper may be ruled as suggested below and pasted in the
Bill File. In fact, this is in many respects preferable to
printed forms, because the forms can then be changed from
year to year to suit conditions.

Labor Records

The best form of labor record is illustrated on pages 49 and
50. In one, account is kept with the object upon which labor is
expended; in the other, with the laborer. For ordinary pur-
poses, page 49 is the most convenient, but where several men
are engaged on a project, form (a), page 51, is preferable.

Where the loose leaf book is used it is convenient to tack a
sheet to a board, and hang it in a convenient place until it is
filled, when it may be filed permanently. See illustration,
page 53.

Milk Records

Two milk records are illustrated on pages 49 and 51. Each
possesses certain advantages over the other. The weekly re-
cord need not be so large and admits of larger spaces, while the
monthly record exhibits the entire month’s result on a single
page. The weekly record is more appropriate for filing, being:
less liable to soiling. Whichever form is used, it should be
tacked to a board in a convenient place for the milker. A
spring scale, graduated to hundredths, should be hung near
the record, far enough from the wall for the pail to hang
freely. The original records should be filed for at least a year.
If a daily time book is kept, it may also be adapted for the
milk and poultry records.

Poultry Records

Practically the same form as the milk record can be used
conveniently for the Egg record, and it is not deemed necessary
to enlarge further on the subject.

FARM RECORDS 47

The methods of improving the poultry stock, and other
ful information regarding the poultry business, is found in
numerous books and bulletins on the subject.

Duplicating Sales Book

It is often convenient to retain a duplicate of sales, orders,
receipts, etc. It will be found very helpful to the farmer and
to the dealer alike, if the farmer prepares a bill of the produce
he brings into town for sale. This will often avoid misunder-
standing and may save money. This is especially true if the
produce is sent in by children or by someone not connected
with the family. On page 51 is illustrated a very convenient
book which is kept in stock in most stationery stores. Where
this system is used, it is advisable that every sale be recorded,
and then listed as shown on page 50. In entering in the Cash
Book, the sale number should be inserted. All sales to mer-
chants should be considered as cash, even if the produce is
exchanged for merchandise. If sales are made on time, note
the fact on the bill, and enter it into the personal account as
illustrated on page 18.

The Farm Plot

There is one more record which I cannot urge too strongly.
I refer to the yearly plots. This record will prove to be one
of the most valuable and interesting parts of the farm history.
A plot is easily made by first drawing a square on a blank
piece of paper and then sketching the fields. It is, of course,
unnecessary to draw this to scale. A close approximation is
all that is necessary. Below is an illustration.

The Farm Office

Talk about an office on the farm! Why not? Why should
not the average farmer enjoy at least a comfortable desk and
neatly printed stationery? Every boy loves “to do business.”
Surround him with a business atmosphere on the homestead
and he will stay by you and succeed you in your old age; con-
tinue in your slip-shod methods and he will move to town and
become a cheap clerk instead of a landed proprietor. Encour-
age your children to assist in your business; make them feel
that they are intimately associated with you; take them into

your confidence and, as they grow older, into your counsel,

48 THE BUSINESS SIDE OF FARMING

especially when you are considering your annual balance sheet
and a greater prosperity, wider influence, and a more con-
tented family will be your reward.

A very convenient desk is illustrated on page 6. Besides
the usual drawers, pigeon holes, etc., it contains a fire proof
safe which affords ample protection against fire and burglars.
It is built especially for farmers by The J. K. Gill Company,
Portland, Oregon, at a very moderate price.

FARM RECORDS 49

MILK Beate

Dade Pans
Go
“
el Bs

w feed Kecord Dae 7Y Cows, fun COSF OF

Heh Ooze nastncacasstiaasoae mesa fee |e

¢ kik ee PEE tt its
ed et 4d 2a
A BREDBB ed EEE a aap
a REESE
gott Za wy. Ree ere pet ta
SS ee td
BBeSse CLC x
LA, je] | | rT TT The TT hy
lY¥bo\ Lie 7 ved | | TT Tee Po
CSS SSR eeELESaas
eet tt ttt tt
2o| had. last CI]
» CREE
§30| Je | DESO SSe@Ssoeen8
BEER RRESAREEaeeoe
Le HDB RePeeseeseaea
0 ba SRST
(a) pounde, $30.00 fee } GO pon—Le facse/h2.50 fee Za

@ Daily ites eeny fers, 1909
ae [feloL Ase lel ehh dee edad ae py

lesen anit SAT TTT PNA ae
Le

nine
ae SUNREE?OROEPOOUHEACROORE*O0I rT bdeel de
Ui nh ZA

SPECIAL RECORDS

60 THE BUSINESS SIDE OF FARMING

| FEED RECORD
ts PRUBEED ae Lang CS si Week ending .

SUNDAY MONDAY TUESDAY =| WEDNESDAY

or agate Fen all fos | eal Botan eon Sa oo a
. Fea eB BFF Hl
Ce aA ae Lbs, thlh |

Bree
aon e

SPECIAL RECORDS

FARM RECORDS 51

ha Infrodemetls Z Forse Barn

TIME BOOK for the

ZZ
| aaa i rr
Mee gag pee

MaaeHnare
Meee
aan

TIME AND SALES BOOK

52 THE BUSINESS SIDE OF FARMING

Fag of flar rss farm, G08

Weteahigh

\Garden, Claas

Yard| J/3 A
Nauk

THE FARM PLOT

FARM RECORDS 53

: fa phe. ‘ Hae Y:

Baie TEE

Ooze TAIT
|

Et t+—
|

|
debe [PS
| ee eaiaial
nuen
1 t
|
ry i

Seales Ces ia|

Poemg Wexeil's Farm Arcosating es
e 7) : vee, PEED RECORD :
ind of Stock EAS Week Ending, L oF / yf

ae
TUESDAY WEDNESU AY TUTERSDA E SATURDAY

SS:
tenes

AY
8 ls

A 3o\ 7 V4

me eeicee cutee
-
EEE

MILK,AND LABOR RECORD

LIBRARY OF CONGRESS

Giicat oe he, oo ee * bIesnealMontl

Entered at postoffice, Corvallis, Oregon, as second-class matter under act of Congress of

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