ORGANIZATION AND MANAGEMENT OP FARMS IN PENNSYLVANIA. 11 



maintain itself adequately as a business organization. By this is 

 meant farm receipts of sufficient amount not only to cover the yearly 

 cash outlay, but to pay for the labor and supervision of the farmer 

 and members of his family, and depreciation and interest on invest- 

 ment as well. After the farmer has obtained these various products, 



VALUE SUPPLIED BY THE 

 FARM TOWARDS FAMILY'S 

 LIVING EXPENSE 

 (Estimated) 



FARMER'S LABOR INCOME 



UNPAID FAMILY LABOR 

 INTEREST ON INVESTMENT 



DEPRECIATION ON EdUIPMENT 

 TAXE.5 AND INSURANCE 

 REPAIRS 

 MISO.CURRENT EXPENSES 



FEEDS PURCHASED 

 HIRED LABOR 



Fig. 7.— Distribution of the farmer's gross income. 



he has the option of either turning them into cash or using them in 

 increasing the size of his business. 



Table II shows an itemized account of the various farm products, 

 averaged for the dairy and general farms under study. The dairy 

 enterprise was the one showing the greatest development in this area, 

 and most of the dairy cows were kept for increasing the size of the 

 herd. Part of the young stock was kept in this connection, but most 

 of the other products were turned into cash. 



