J -Ui- 



A 5-10-10 fertilizer contains an amount of total nitrogen as would be equivalent tc 

 five per cent of nitrogen, an amount of available phosphorous equivalent to ten per 

 cent of phosphoric acid and available potash equivalent to ten per cent of potash 

 (K20)» Since the mixed fertilizer contains an equivalent to five per cent N, divide 

 one poimd of actual nitrogen wanted by ,05 which will give an answer of 20 pounds 

 of 5-10-10 to add in order to apply one pound of actual nitrogen. If you apply 20 

 pounds of 5-10-10, two pounds of potash (KpO) and two pounds of phosphoric acid are 

 added. These ansvrers are obtained by multiplying the 20 pounds of 5-10-10 by the 

 per cent potash and phosphoric acid respectively in the fertilizer, 



"W, J, Lord 



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HOW TO BQRROIT MONEY IF YOU NEED IT 



Get the Most for Your Money Modern farming requires large amounts of operating 

 credit as well as long-term capital financing™ 



Buy credit as you buy feed and fertilizer - from dependable sources - at low- 

 est net cost. Be in a position to pay cash for materials bought and demand best 

 prices and services. 



Use Farm Account Book Too much credit or credit unsuited to the farm program being 

 financed, can be as detrimental to the farm as no credit at all. Be in a pos- 

 ition to determine in advance the money required to carry on your farming business. 



Plan for Credit in Advance A sound loan should pay out in profit to you. Estimate 

 your sources of income as a guide to orderly repayments 



There is a very real difference bet'.reen financing a farm operation and merely 

 making a loan or extending credit for some specific purchase. There is a very real 

 difference, also, between a sound loan and a safe loan . A sound loan must be: 



1, A benefit to the borrower and safe for the lender, 



2, Adequate but not too much. 



3, Available as needed, 



U, Liquidated from normal sources with payments (geared to income, 



KnoT/ Where to Borrow Lending institutions are in the specialized business of loan- 

 ing money. Figure the net cost of the money before you borrow. You may pay anywhere 

 from h% to ll-l/2^ on a ""6fj interest rate" depending on how the loan is figured. 



Get Debts Togjether in One Place Split credit costs more - limits ability to borrow 

 money - weakens your credit rating, and invites pressure from all creditors. Use 

 regular lending agencies, meet obligations promptly - protect yom- credit rating in 

 the business community. 



Do Not Over-borrow Be sure to keep something in reserve including the ability to 

 borrow more money if needed. Be prepared to meet the unexpected - hospital bills, 

 fann price upsets, crop failures and changing economic conditions. Buy your credit 

 as you now buy feed, fertilizer, spray material, or machinery. Use those agencies 

 v;hich offer the lowest rate consistent vrith the service rendered. Remember, you 

 are not asking for favors when you apply for a sound loan, 



L. D. Rhoades 



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