Components of a Farm Budget - JSS1 Agricultural science Lesson Note

1. Revenue: Includes income generated from the sale of agricultural products, livestock, or other farm-related activities.

2. Expenses: Comprises all costs associated with farm operations, including inputs such as seeds, fertilisers, pesticides, labour, equipment, and overhead costs.

3. Net Income: Calculated by subtracting total expenses from total revenue, representing the profit or loss generated by the farm.

4. Cash Flow: The movement of cash in and out of the farm over a specific period, helping farmers manage liquidity and plan for expenditures.