FARM RECORDS

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FARM RECORDS

• COMPUTERIZED RECORDS

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Review
Farm Record Systems
1. For Large Operations, A Farm Business Center
Is Essential
2. The Accounting Process Consists Of Several
Activities Filtering, Sorting, Paying,
Recording, Preparing Reports, Storing.
3. You Must Make Several Choices When You
Implement A Farm Accounting System.
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Farm Record Concepts

• 1. Introduction To Records
• 2. Accounting Equation
• 3. Balance Sheet
• 4. Income Statement
• 5. Inventory
• 6. Depreciation
• 7. Accounting Methods
• 8. Cash Flow
• 9. Record Systems
• 10. COMPUTERIZED FARM RECORDS
• 11. Labor Records
• 12. Record Analysis
• 13. Income Tax

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Lesson Objectives
Computerized Records
After The Lesson, The Student Should Be Able To

• 1. Discuss Advantages/Disadvantages Of Various
  Computerized Farm Records Options.
• 2. Understand The Steps In Picking An Appropriate
  Computerized Record Keeping System

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COMPUTERIZED RECORDS
Jeff McNelly. Wooster Daily Record. Jan 18, 1993
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I. User Of Computerized Records
Computerized Records
Computer Users
Non Users

• Characteristic

Age
44
50
708
563
Farm Size
250,000
131,250
Gross Sales
49
22
Double Entry
4
Up-dates / Mon
3.3
Hours / Month
17.7
6.6
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II. Computerized Records Options
Discuss Various Computerized Farm Records
Options.
Learning Objective
10-1

• A. Accountant / Service Bureaus
• 1. Send In Records Once A Month
• 2. Receive Reports In 1-2 Weeks
• 3. Cost About 100 Per Month
• 4. Dont Have To Learn Computers Or Accting
  Software
• 5. Lose Touch With Numbers

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B. Off The Shelf Software
Discuss Various Computerized Farm Records
Options.
Learning Objective
10-1
1. Spread Sheets

• 2. Mass Market Sm Business Programs
• A. Quicken

99
Only Tracks One Physical Quantity
B. Quick Books
199
Only Tracks One Physical Quantity
3. Need To Know About A. Computers B.
Double Entry Bookkeeping
4. Most Will Not Allow You To Enter Two
Quantities, I.E., Head And Pounds
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C. Ag Specific Record Software
Discuss Various Computerized Farm Records
Options.
Learning Objective
10-1

• 1. Advantages

A. Chart Of Accounts Set Up
B. Written With Ag Needs In Mind
-
C. More Reports Relevant To Ag
D. Calculate Financial Ratios
2. Disadvantages
A. MORE EXPENSIVE 500- 3000 300 Annually
B. Take More Time To Learn 2 - 6 Months
C USE DOUBLE-ENTRY BOOKKEEPING
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D. Major Vendors
Discuss Various Computerized Farm Records
Options.
Learning Objective
10-1
1. Farm Business Systems
Basic System 995.00
Payroll 995.00
Report Generator 995.00
2. Red Wing Business Systems
No Price Given
3. Farm Software Products
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ELEMENT OF TRUTH
COMPUTERIZED RECORDS
I ALWAYS THOUGHT THE MOST IMPORTANT PIECE OF
EQUIPMENT WAS THE TRACTOR
PRAIRE FARMER. MARCH 2001. PG 46
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III. Selecting A Farm Accounting System
Understand The Steps In Picking An Appropriate
Computerized Record Keeping System
Learning Objective
10-2
A. Identify Needs Preferences

• 1. Just Used Records To Give To Accountant For
  Tax?

2. What Does Your Lender Want To See?
3. Do You Seriously Use Records To Make Mgt
Decisions?
4. How Much Time And Money Are You Willing To
Spend To Learn A System?
5. How Complex You Operation Is?
6. Number Of People On Payroll
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B. Identify Software That Meets The Needs
Understand The Steps In Picking An Appropriate
Computerized Record Keeping System
Learning Objective
10-2
1. Documentation
A. Clear, Easy, To Follow
B. Tutorial Examples
C. Help Screens
2. Vendor Support Service
A. Warranty
B. Telephone Hot Line
C. Low Cost Up Dates
D. On Farm Training
E. Local Dealer Support
F. Newsletter/User Group
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3. Accounting Program
Understand The Steps In Picking An Appropriate
Computerized Record Keeping System
Learning Objective
10-2
A. Numeric Vs. Alphabetic Coding
B. Cash And/Or Accrual Accounting
C. Ease Of Use Menus
D. Speed Efficiency
E. Error Handling
F. Ability To Modify For Your Situation
G. Report Options
H. Automatic Check Writing?
I. Enterprise Accounting Capability?
C. Identify The Hardware That Will Run The
Software
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IV. Tips For Selecting Farm Accounting
SoftwareDarrell Dunteman
Understand The Steps In Picking An Appropriate
Computerized Record Keeping System
Learning Objective
10-2

• 1. Dont Be Overly Cheap
• 2. Ask For Input
• 3. Consider Non-ag Programs
• 4. Learn How To Use The System
• 5. Try Before You Buy

Dairy Herd Management July 1999
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COMPUTERIZED RECORDS
Yes, I am quite familiar with chips, but they
have nothing to do with computers
R. Stubler, Hoards Dairyman. May 5, 1992
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Summary
Computerized Records

• A. Computerized Record Users Tend To Be Younger
  Have Larger Farms
• B. You Can Use A Service Bureau, Use
  Off-the-shelf Small Business Software, Or Use
  Ag Specific Software To Computerized Your Records
• C. There Are Three Steps To Implementing A
  Computerized Record System
• 1. Identify Your Needs
• 2. Identify Software That Meets Needs
• 3. Identify Hardware To Run Software

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SELF TEST
COMPUTERIZED RECORDS
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Thinking / Writing Corroborative Assignment
Computerized Records

• One Of Your Written Assignment Options ( 6 )
  Asks You To Summarize A Written Article Or
  Internet Source That Deals With Computerized
  Records.

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Associated Laboratory Activity
Computerized Records

• During Lab 6 You Will Be Given A Chance To Enter
  Transactions Into A Computerized Record Keeping
  System And Produce Reports

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Next Farm Records Topic

• Labor Records