380 ELEMENTS OF AGRICULTURE 



FARM RECORDS AND ACCOUNTS 



One of the most important questions of farm manage- 

 ment is that of records and accounts. It is by studying 

 the results of well-kept records that one is able to extend 

 or retrench on the different parts of the business, so as to 

 make more money in the future. 



325. Kinds of Accounts to Keep. Records of different 

 cows for the dairyman have been discussed under cattle. 

 The farm map, showing drainage lines, maps showing 

 varieties of trees in an orchard, etc., are necessary on 

 many farms. If all business is not done on a cash basis, 

 it becomes necessary to keep records of accounts that are 

 owed or that are due. It is also very desirable to keep a 

 record of the cost and receipts from at least the leading 

 factors in the farm business. An account may be kept with 

 cows, potatoes, poultry, horses, etc., showing on which 

 we are making or losing money. 



326. Methods of Keeping Accounts. One may merely 

 make a list of his property at the end of each year, with 

 values. Such a list is called an inventory. The difference 

 between the inventories at the beginning and the end of 

 the year is the gain or loss. This is the most important 

 single record to keep. It does not show what caused the 

 gain or loss, but shows the net result. A loss may have been 

 due to large personal expenses, or to cows or potatoes, 

 while all other sections of the business may show a profit. 



In order to show where the gains and losses occurred, 

 we must keep a work report and a ledger. It is not neces- 

 sary to keep any other books. 



A convenient form of work report is shown on page 381. 



