FARM ACCOUNTING 



ILLUSTRATION 60 



TABLE V AVERAGE CAPITAL, RECEIPTS, EXPENSES, AND PROFITS 



OF LANDLORDS FOR 247 FARMS OPERATED BY TENANTS, 



AS SHOWN IN TABLE IV 



1 Obtained by dividing the farm income by the average capital. 



Taking into consideration the results from all the farms 

 managed by owners and by tenants, they show that a re- 

 turn can be expected of 3.5 per cent on the investment and 

 a labor income of $870. 



Incomes Received by Absentee Landlords. "The farm. 

 in the case of the landlord, is a business investment. II. 

 furnishes the capital, largely in the form of land, and the 

 tenant furnishes the necessary labor and other means for 

 its operation. The average investment of the 247 land- 

 lords for the three States studied was $25,210. The aver- 

 age net income on the capital invested was 3.5 per cent. 

 All items of expense, including repairs, seeds, taxes, and 

 insurance, were deducted before figuring the net returns. 

 Table V (Illustration 60) gives the average capital, re- 

 ceipts, expenses, and returns for the landlords in each 

 State. 



