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Journal cover: Agricultural Finance Review

Agricultural Finance Review

ISSN: 0002-1466

Online from: 2000

Subject Area: Economics

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Financial management practices and farm profitability

Document Information:
Title:Financial management practices and farm profitability
Author(s):Brent A. Gloy, Eddy L. LaDue
Citation:Brent A. Gloy, Eddy L. LaDue, (2003) "Financial management practices and farm profitability", Agricultural Finance Review, Vol. 63 Iss: 2, pp.157 - 174
Keywords:Business analysis and control, Capital acquisition, Farm management, Financial management, Investment analysis
Article type:General review
DOI:10.1108/00215060380001147 (Permanent URL)
Publisher:MCB UP Ltd
Abstract:The adoption of several basic financial management practices is examined for a group of New York dairy farms. The study provides estimates of the extent to which various business analysis and control, investment analysis and decision making, and capital acquisition practices have been adopted. Many practices, such as net present value analysis, are not widely adopted by farmers. The relationship between the adoption of financial management practices and farm profitability is also examined. Results suggest that the adoption of financial management practices, such as using investment analysis techniques, significantly impacts farm financial performance.

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