FARM MANAGEMENT 403 



8 



Cost of barn $ 2000.00 



Annual cost, Interest 



Insurance 



Depreciation 



Paint and repairs 



Total annual cost 



1 1. o per cent on $2000 equals $220.00, annual cost. 

 $220.00 distributed over 40 cows equals $5.50 annual cost a head, 

 or a saving of $220.00 yearly in cost of producing milk. 



FARM LABOR 



The labor question presents one of the most difficult 

 problems in the management of a farm. Labor prop- 

 erly employed should produce returns in excess of 

 its cost. The value of a good farm manager lies quite 

 as much in his ability so to select and direct labor that 

 it will yield a profit, as it does in his ability to drive a 

 good bargain or sell his crops well. The only reason 

 for employing labor is to increase the product and con- 

 sequent profit. 



While the farmer does not usually consider his time 

 nor the time of the members of his family who partici- 

 pate in the work of the farm as an item of cost, he should 

 do so and should so direct such labor as to secure at 

 least the ordinary rate of wages for farm help for the 

 time of himself and the members of his family who 

 contribute to the operation of the farm. 



The adjustment of labor so as to provide constant 

 employment throughout the year is one of the difficult 

 problems of the farm. Where a single line of farming 

 is followed, as grain raising, labor is in strong demand 

 only at certain seasons of the year, resulting in high 



