Explain if the following statements are true or false. a. Rules of thumb for farm businesses are constant with those in other production sectors. b. Sustainability analysis is the last step of...

Explain if the following statements are true or false. a. Rules of thumb for farm businesses are constant with those in other production sectors. b. Sustainability analysis is the last step of analysing farm financials. c. In a financially healthy farm business, atleast 30% of the total capital employed should be financed by own capital. d. A leverage ratio of 1:1 reflects growth in farmer’s own capital e. A turnover ratio of 1,2:1 is considered healthy for maize producing farming business. f. A leverage ratio of 3.8:1 is considered risky for a farming business that has been operational for 2 years. g. A farm profitability of 55% and a profitability on own capital of 40% indicates a farm business with a positive financial leverage.

Jun 04, 2022
SOLUTION.PDF

Get Answer To This Question

Related Questions & Answers

More Questions »

Submit New Assignment

Copy and Paste Your Assignment Here