17 



Taking Groups Nos. 1 to 6 by classes, the following information has been obtained : 



Paragraph 4. 



INVENTORY AND VALUATION. 



The aggregate total of the valuations for all Accounts 

 (Classes 1-6) at the beginning of the year is 1 ,480,273, 

 and at the end of the year is 1,697.342, an increase of 

 217,009 or 14-7 per cent. (See following Table A.) 



TABLE A. 



Tutnl Arnfiunls of Valuation*. 



TABLE B. 



L'njiitnl Employed. 



The profit shown by the same accounts is 190,562 ; 

 but it is difficult to ascertain what portion of this profit 

 is due to increased market prices only. 



In the Schedules issued, the farmer was asked to state 

 by whom and on what basis (e.g. cost price, market rates 

 &c. ) the valuation was taken, and it was found that in the 

 great majority of cases the basis adopted was market 

 value. 



The Schedule also asked for particulars of the number 

 and value of different classes of live stock on the farm at 

 the beginning and end of the year. This information is 

 still coming to hand, and the question will be further 

 dealt with in a subsequent report. 



In a number of cases, items such as Tillages, Sundry 

 Stocks of Purchased Feeding Stuffs, Fertilizers, &c., are 

 omitted from the valuation, the explanation being that 

 many farmers appear to look upon this as a more or less 

 constant figure each year. 



Paragraph 5. 



CAPITAL. 



The total amount of capital employed on the various 

 farms (Classes 1-6) at the close of the financial year was 

 *1, 742,000. (See Table B.) 



Opportunity was given to each farmer to state, in 

 Schedule A, what capital represented by cash at bank, 

 debts due to the farm, &c. was employed on the farm, in 

 addition to the live stock, equipment, &c., included in the 

 valuation. This information was furnished in only a few 

 rases and the amount of capital shown in Table B is 

 therefore incomplete to this extent, and consists almost 

 exclusively of the total of the valuations. 



It is probable that in a large number of cases the 

 accounts deal only with cash received and paid during the 

 year, and that no account is taken of debts due to, or by, 

 the farm which may remain unpaid at the date of opening 

 and closing of the accounts. 



The greater portion of the total capital shown repre- 

 sents the farmer's own capital, but there are a number of 

 cases where capital employed on the farm has been pro- 

 vided from outside sources, e.g. by loan or banker's over- 

 draft. Farmers were asked in the Schedule to state the 

 amount of any such loans, but the information was given 

 in a few cases only. 



The remarks in paragraph 4 above as to the basis of 

 valuation adopted, and the omission from the valuations 

 in certain cases of Tillages, Stocks of Feeding- Stuffs, &c., 

 also apply in considering the amount of capital employed. 



In the case of owned farms the figure of capital does 

 not include the value of the land and buildings, as a 

 charge for rent has been made against the profit in all 

 such cases. 



Paragraph 6. 



PROFIT. 



The total amount of surplus or profit shown by the 

 Accounts (Classes 1-6) is 190,562. (See Table C.) 



