BUSINESS ASPECTS OF FARMING 437 



SIZE OF FARM AS RELATED TO PROFITS 1 



LABOR INCOME 2 

 ACRES (DOLLARS) 



30 or less 1 68 



3i-6o 254 



61-100 373 



101-150 436 



151-200 635 



Over 200 946 



576. Capital and profits. Size of business may also be viewed 

 from the standpoint of the total investment, as shown in the 

 following table (also from the investigation cited above) : 



RELATION OF CAPITAL TO PROFITS 



CAPITAL AVERAGE LABOR 



(DOLLARS) INCOME (DOLLARS) 



2000 or less 192 



2001-4000 240 



4001-6000 399 



6001-8000 530 



8001-10,000 639 



10,001-15,000 870 



Over 15,000 1164 



Again, the labor income varies with the size of business. 

 The smaller the business, the smaller the labor income ; and the 

 larger the business, up to the point shown in these tables, the 

 larger the labor income. 



577. Why the small business does not pay. Do small farms 

 use man and horse labor and farm machinery to the same advan- 

 tage as do the larger farms ? The three following tables (also 

 from the investigation cited above) answer this question. 



1 An Agricultural Survey, Bulletin 295, Cornell Experiment Station. 



2 By labor income is meant the money a farmer has left for his services 

 after paying all running expenses of the farm and the interest on his investment. 

 He has in addition to his labor income that which the farm supplies toward 

 his living. 



