CLE’s and State Content Standards
for Agribusiness
Class Description: (prerequisite: Introduction to Agriculture, or teacher’s
signature) Available for Juniors and Seniors. This class will learn the concepts
and skills necessary for farm management and agribusiness management. Topics
of study will include the following: Setting Goals, Record Keeping Systems,
Net Worth, Cash Flow, Financial Analysis, Budget Analysis, Types of Budgeting
systems, Cost and Return Analysis, Marketing a product and marketing strategies,
Futures Commodities (playing the futures market), Risk Management, Investment
Analysis, Taxes and Tax Considerations, Professional Organizations, Entrepreneurship,
Farming Cooperatives, International Trade, and Agricultural Law.
An Agricultural Current Event will be due every other Friday with written and
oral evaluation.
A Supervised Agricultural Experience Program (SAE) will be graded as 20% of
the final grade.
Text: Farm and Ranch Business Management, by John Deere (1992)
State Content Standards Achieved:
12.3.18 Social Science: Students will learn and perform the systematic
decision-making process.
12.4.19 Social Science: Students will discuss the financial decision
making process including planning, deciding, and evaluating.
12.4.27 Social Science: Students will review the essentials of setting
various levels of goals. These essentials include motivation, how to set a goal,
evaluate conflicts, develop necessary networks, and how to prepare for change.
12.2.2 Reading/Writing: Students will list their immediate, short, and
long-term goals.
12.2.12 Social Science: Students will identify basic economic concepts
which influence business decisions.
12.4.26 Social Science: Students will recognize the differences between
agricultural businesses and other businesses.
12.4.22 Social Science: Students will define profit.
Students will illustrate supply and demand in defining price determination.
Agribusiness (continued 2)
12.4.27 Social Science: Students will recognize the importance of developing
personal financial management skills.
Students will identify the advantages and disadvantages of savings accounts
and other investments.
Students will identify the many uses and importance of accurate inventory including
an income statement, obtaining credit, insurance, estate planning, and tax management.
12.5.2 Math: Students will illustrate the time value of money when invested
over time.
12.4.24 Social Science: Students will identify the factors of production
including natural resources, labor, capital goods, and management.
12.4.27 Social Science: Students will identify the purpose of a balance
sheet.
12.6.2 Math: Students will produce a spreadsheet to calculate budgets.
12.2.1 Math: Student will complete a cash flow statement.
12.4.27 Social Science: Students will explain cost and market valuation
of assets and liabilities.
12.2.1 Math: Students will complete an income statement.
12.4.27 Social Science: Students will identify the sources of a cash flow
including an operating income and expense and investments.
12.4.1 Reading/Writing: Students will invite a local business leader
to explain how to prepare and use an income statement to analyze a business.
12.4.27 Social Science: Students will compare calculated and reported
owner equity.
12.4.27 Social Science: Students will identify the five key areas of
financial analysis including liquidity, solvency, profitability, repayment capacity,
and financial efficiency.
Students will determine the basic differences between cash and accrual accounting.
Students will discuss the purposes of a statement of owner equity.
Agribusiness (continued 3)
12.4.27 Social Science: Students will identify examples of the primary
areas where change in owner equity can occur including related earnings, withdrawals,
contributed capital, and asset values.
12.2.1 Math: Students will identify the importance of variable and fixed
costs for planning purposes.
12.4.27 Social Science: Students will define various working ratios in
relation to liquidity and solvency.
12.4.26 Social Science: Students will demonstrate knowledge of borrowing.
Students will identify the various categories, criteria, and factors to consider
when borrowing capital.
12.4.26 Social Science: Students will practice filling out a loan application.
12.4.26 Social Science; 12.1.6 Reading/Writing; 12.2.2 Reading/Writing; 12.2.4
Reading/Writing; 12.3.1 Reading/Writing; 12.3.2 Reading/Writing;
12.2.3/12.5.2 Math: Students will participate in a commodity marketing activity
making management decisions with various agricultural commodities. Students
will chart market prices (cash and futures) for agricultural commodities.
12.2.1 Math: Students will compute long and short hedges and understand
the concept of basis.
12.3.2 Reading/Writing: Students will research agribusiness career areas
and present a report on various aspects of the positions and opportunities available.
12.4.25 Social Science: Students will identify the necessary documents
to be filed for a tax return.
12.5.6 Math: Students will determine effects of United States policy
on imports, exports, and price.
12.4.27 Social Science: Students will brainstorm a new business or product.
12.4.24 Social Science: Students will identify the need for creating
a business plan including: defining a market, resources, competition, etc.
Students will define the means of financing a business.
Students will define how to sell the business plan.
Agribusiness (continued 4)
12.4.24 Social Science: Students will start an outline of a business
plan for the business venture that is being considered.
12.4.17 Social Science: Students will describe the difference between
fixed and working capital
12.5.2 Math: Students will analyze a business income and expense records.
12.1.6 Reading/Writing: Students will develop marketing and promotional
strategies.
12.4.21 Social Science: Students will understand the dynamics of international
trade.
12.5.6 Math: Students will determine effects of United States policy
on imports, exports, and price.
12.4.27 Social Science: Students will job shadow a business manager.
12.4.17 Social Science: Students will define the cooperative as a type
of business structure.