Title: Cash Operating Income And Liquidity Management For Swine Farms
Preview: Kansas State University Swine Research. Net cash flow measures the amount of
cash remaining after all cash expense obligations
are satisfied. This cash is available for
additional farm investment, off-farm investment,
family living, and additional debt
repayment. A 5-year average monthly cash
flow statement was used to determine net
cash flow for 13 swine farms. Results indicate
that excess cash was used primarily to
invest in machinery, vehicles, and nonfarm
assets and to increase the allocation for family
living. Investments in buildings increased
moderately over the study period, but investment
in land was minimal. Investment in
additional swine facilities was small. Expansion
of the breeding herd was not visible on
these farms until 1992.
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Date Published: September 08, 2006