35 



Fifth Year. The returns from alfalfa may be reduced to $600, 

 while the other returns may be increased to $2500, making a total- of 

 $3100. Allowing again for an increase in running expenses, the 

 following may result : 



li- . '' << 



Running expenses $1,400.00 



Family expenses 700.00 



Interest 300.00 



Total $2,400.00 



The balance will thus be $700, with which seven cows may be purchased. 

 Sixth Year. Assuming a reduction of alfalfa to $300 and increase 

 in milk and meat to $3300, the income the sixth year would be $3600. 

 The outlay may be assumed as follows : 



Kunning expenses $1,600.00 



Family expenses 700.00 



Interest 300.00 



Total $2,600.00 



This leaves a balance of $1000, with which eight cows and a bull may 

 be purchased. 



Seventh Year. There will now be on hand forty cows, which will 

 stock the sixty acres fully, so that the only return will be from the 

 sale of butter fat and live stock. During the seventh year, under this 

 plan, the. owner should receive an income of $4000 and may estimate 

 his running expenses at $2000, leaving $2000 to be divided among 

 living expenses, interest, arid reduction of debt. Assuming living 

 expenses to have been $700, there would be left $1300 for interest and 

 reduction of debt. At the end of the seventh year, therefore, this 

 man 's account would stand as follows : 



Property, worth $16,000.00 



Cash on hand 1,300.00 



- $17,300.00 



Original investment $5,000.00 



Debt 5,000.00 



Interest due 300.00 



10,300.00 



Balance $7,000.00 



The net anual gain, therefore, over living expenses has been $1000. 

 Most farming operations are not so simple as this illustration, because 

 most farming is, as it should be, more diversified. Neither does this 

 illustration provided for sickness, lack of water, or other accidents. 



