104 



Figure 3. 



Percent of Farm Operations in Stress 

 January 1, 1992 



Marginal 

 solvency (4.4*/.) 



Vulnerable (4.6%) 



Financial Position of Farms - 



Marginal 

 income 



Marginal 



40.1 

 38.3 

 37.0 

 39.8 

 43.6 

 44.0 

 43.8 

 46.7 



Percent 



Farms with Gross Sales > $40,000 



1991 

 1992 



68.5 

 66.9 



13. 1 

 16.9 



14.2 

 11.6 



4.1 

 4.6 



- This estimate is based on USDA survey data. The categories of 

 financial stress are: Favorable — positive net cash farm income 

 and debt-to-asset ratio of .4 or less; Marginal Solvency — 

 positive net cash farm income and debt-to-asset ratio above .4; 

 Marginal Income— negative net cash farm income and debt-to-asset 

 ratio of .4 or less; Vulnerable--negative net cash farm income 

 and debt-to-asset ratio above .4. 



I 



