Degree Name

Master of Science

Graduate Program

Agribusiness Economics

Advisor

Dr. Jebaraj Asirvatham

Abstract

RYAN A. BAILEY, for the Master of Science degree in AGRIBUSINESS ECONOMICS, presented on APRIL 18th, 2017 at Southern Illinois University Carbondale.

TITLE: EVALUATING FARM FINANCIAL PERFORMANCE MEASURES IN ILLINOIS

MAJOR PROFESSOR: Dr. Jebaraj Asirvatham

The purpose of this paper is to conduct financial measure analysis specifically Return on Assets (ROA) and Asset Turnover Ratio (ATR) of the 102 counties throughout Illinois and give a better insight of how these farms are performing at the county level; the sample area consists of farms throughout the entire state of Illinois. However, data between counties throughout the state of Illinois have not been widely analyzed in terms of profitability and financial efficiency among counties throughout the state of Illinois. This research acquired data from the United States Department of Agriculture- National Agricultural Statistics Service (USDA-NASS) census years 1997, 2002, 2007, and 2012, to analyze comparison and gauge the change in relationship in better understanding of county and regional performance across the Northern, Central and Southern parts of the state. This research study presents the profitability measure of Return on Assets (ROA) and financial efficiency measure Asset Turnover Ratio (ATR) and presents challenges that agricultural producers face from business, agricultural policy, and financial risk throughout Illinois at the county-level. With continually, changing market conditions this research, suggest the importance of measuring and analyzing county level data to support policy and programs in one of the United States top agricultural producing states of Illinois. Additional data is used to analyze existing and emerging relationships of farm size and assets throughout Illinois counties.

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