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Extension program uses worksheets to assess financial performance in agriculture, aiding evaluation of loan requests.
An Extension program uses four worksheets to take data from beginning and end-of-year balance sheets, Schedule F, and, if needed, a Form 4797 and prepares an accrual-adjusted income statement. That information is then used to calculate the financial ratios recommended by the Farm Financial Standards Council. The worksheets enable Extension clientele and borrowers to analyze their agricultural businesses and lenders to evaluate loan requests.
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Barnard et al. (2003) studied this question.
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