Agricultural Business Management TABLE OF CONTENTS Acknowledgements.................................................................................................... ii Authors................................................................................................................iii Technical Reviewers.........................................................................................viii Project Advisory Committee...........................................................................x Introduction.................................................................................................................. xi Numbering System for Lesson Plans .....................................................................xii Agricultural Business Management Unit and Topic Directory........................ xiv Agricultural Business Management Lesson Plans Computers in Agribusiness..............................................................................1100 Careers in Agribusiness ....................................................................................1150 Economic Principles...........................................................................................1200 Management Functions...................................................................................1250 Agribusiness Accounting..................................................................................1300 Financial Planning and Analysis....................................................................1350 Finance and Credit.............................................................................................1400 Marketing...........................................................................................................1450 Cooperatives.........................................................................................................1500 Sales and Selling..................................................................................................1550 Agribusiness Taxation.......................................................................................1600 Insurance in Agribusiness.................................................................................1650 Purchasing Options.............................................................................................1700 Agricultural Law.................................................................................................1750 Safety in Agribusiness Operations...................................................................1800 Government Agencies and Services...............................................................1850 ACKNOWLEDGEMENTS The development of the Model Agricultural Education Curriculum is the result of a cooperative effort by the California Agricultural Teachers' Association (CATA); the Agricultural Education Unit, Career-Vocational Education Division, State Department of Education; and the Agricultural Education Program, College of Agricultural and Environmental Sciences, University of California, Davis. The following individuals are recognized for their dedication and commitment to completing this curriculum development effort. James G. Leising Project Director Agricultural Education Program University of California, Davis Carole Hinkle Editor Agricultural Education Program University of California, Davis Robert Heuvel, Project Monitor State Supervisor - Agricultural Education Career-Vocational Education Division California Department of Education, Sacramento Authors Computer Applications Larry Michel Instructor and Agriculture Coordinator Yuba College 41605 Gibson Road Woodland, CA 95695 Careers in Agribusiness Jim Aschwanden Agriculture Teacher Galt Joint Union High School 145 N. Lincoln Galt, CA 95632 Eric Zilbert, Teacher Educator Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Carole Hinkle, Editor Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Economic Principles Larry Michel Instructor and Agriculture Coordinator Yuba College 41605 Gibson Road Woodland, CA 95695 Gillian Butler Ph.D. Candidate University of Wisconsin Managment Functions Bob Fraser Agriculture Instructor Santa Rosa Junior College 1501 Mendocino Avenue Santa Rosa, CA 95401 Agribusiness Accounting Eric Zilbert, Teacher Educator Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Jim Aschwanden Agriculture Teacher Galt Joint Union High School 145 N. Lincoln Way Galt, CA 95632 Financial Planning & Analysis Eric Zilbert, Teacher Educator Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Finance and Credit Gary Varrella, Teacher Educator Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Jim Aschwanden Agriculture Teacher Galt Joint Union High School 145 N. Lincoln Way Galt, CA 95632 Marketing Eric Zilbert, Teacher Educator Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Bob Fraser Agriculture Instructor Santa Rosa Junior College 1501 Mendocino Avenue Santa Rosa, CA 95401 Kenneth Emo, Graduate Student Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Dr. James G. Leising, Supervisor of Teacher Education Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Cooperatives Gillian Butler Ph.D. Candidate University of Wisconsin Charles Moore Economist Center for Cooperatives University of California Davis, CA 95616 Sales and Selling Dr. James G. Leising, Supervisor of Teacher Education Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Agribusiness Taxation Eric Zilbert, Teacher Educator Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Insurance in Agribusiness Carole Hinkle, Editor Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Bob Fraser Agriculture Instructor Santa Rosa Junior College 1501 Mendocino Avenue Santa Rosa, CA 95401 Purchasing Options Eric Zilbert, Teacher Educator Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Jim Aschwanden Agriculture Teacher Galt Joint Union High School 145 N. Lincoln Way Galt, CA 95632 Agricultural Law Max A. Mickelsen Attorney at Law (Agricultural Law) P.O. Box 750487 Petaluma, CA 94975-0487 Carole Hinkle, Editor Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Eric Zilbert, Teacher Educator Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Safety in Agribusiness Operations Carole Hinkle, Editor Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Goverment Agencies and Services Melinda Hogan, Graduate Student Department of Applied Behavioral Sciences Agricultural Education Program University of California Davis, CA 95616 Technical Reviewers Agricultural Business Management Computer Applications Ken Paulsen Senior Statistician College of Agriculture University of California, Davis Careers in Agribusiness Joe Stasulat Manager, Internship & Career Center University of California, Davis Economic Principles Hoy Carman Chairperson, Dept. of Agricultural Economics University of California, Davis Gillian Butler Ph.D. Candidate University of Wisconsin Managment Functions Karen Klonsky Farm Management Specialist University of California, Davis Financial Planning & Analysis Agribusiness Accounting Finance and Credit Steve C. Blank Farm Financial Management Specialist University of California, Davis Cooperatives Richard Sexton Dept. of Agricultural Economics University of California, Davis Agribusiness Taxation Todd C. Boler Boler & Associates Professional Accountancy Corporation 750 F Street Davis, CA 95616 Insurance in Agribusiness Leslie (Bees) Butler Marketing Specialist University Califonia Davis Purchasing Options Colin Carter Dept. of Agricultural Economics University of California, Davis Agricultural Law Max A. Mickelsen Attorney at Law (Agricultural Law) P.O. Box 750487 Petaluma, CA 94975-0487 Safety in Agribusiness Operations James Rumsey, Lecturer Dept. of Agricultural Engineering University of California, Davis Goverment Agencies and Services Hal Carter Director, Agriculture Issues Center University of California, Davis Project Advisory Committee Jim Aschwanden, Galt High Bill Loveridge, Loyalton High School1985-1990 School1985-1990 Karl Bakken, State Department of Dick Mossbarger, Fillmore High Education1985-1987 School1985-1987 Ray Bianchi, Los Molinos Ray Munir, Atwater High High School1989-1990 School1987-1989 Jerry Davis, Consultant1985-1990 Richard Rogers, California State University, Fresno1987-1990 Bob Flores, California State Polytechnic Keith Smith, State Department University, San Luis Obispo1985-1987 of Education1987-1990 George Green, Pierce High John Ventuleth, Hemet Junior School1988-1989 High School1987-1988 Ken Harris, California Agricultural Don Wilson, Consultant1987-1990 Teachers' Association1985-1990 Jean Landeen, State Department of Education1985-1990 Introduction The Agriculture Model Curriculum (see page v) is composed of a two-year Basic Core (9th & 10th grades) and seven Advanced Core Clusters (11th & 12th grades). Using the Advanced Cluster learning outcomes identified in the Agriculture Model Curriculum Guide for Agricultural Mechanics, the attached lesson outlines were developed. It is recommended that these lesson outlines be used by the teacher as a basis for integrating the model learning outcome into a secondary agriculture education program. It has been determined through field testing that approximately 160 hours of teaching time is needed to fully teach the core Agricultural Business learning outcomes. Depending on the type of program, these lessons may be taught over a two-year period which would allow an equal amount of local enrichment to be included. THE CALIFORNIA AGRICULTURE MODEL CURRICULUM LESSON PLAN NUMBERING SYSTEM The Advanced Clusters were developed to provide a minimum standard of proficiency for students completing the third and/or fourth years of a secondary agricultural education program. The Advanced Core Clusters include seven areas: Agricultural Business Management, Agricultural Mechanics, Animal Science, Forestry, Natural Resources & Rural Recreation, Ornamental Horticulture, and Plant & Soil Science. HOW TO USE THE INDEXING SYSTEM: Each lesson of the ADVANCED CORE CLUSTERS is assigned a four-digit number. The first (or thousands) identifies the cluster: ADVANCED CORE CLUSTER CODE AGRICULTURAL BUSINESS MANAGEMENT 1000 series AGRICULTURAL MECHANICS 2000 series ANIMAL SCIENCE 3000 series FORESTRY 4000 series NATURAL RESOURCES/RURAL RECREATION 5000 series ORNAMENTAL HORTICULTURE 6000 series PLANT AND SOIL SCIENCE 7000 series Each of the advanced core clusters is then subdivided into UNITS which are represented by the second (or hundreds) digit. CODE UNIT TITLE CLF1100 CMPUTERS IN AGRIBUSINESS CLF1150 CAREERS IN AGRIBUSINESS Each unit has a Unit Directory ending in either "00" or "50"; each of the units is further divided into TOPICS which are individually represented by the third and fourth digits numbered consecutively. (Note that each UNIT EXAM ends in either "49" or "99.") CODE UNIT TITLE CODE TOPIC TITLE (CLF1800) SAFETY IN (CLF1801) Factors that Contribute AGRIBUSINESS to Farm Accidents OPERATIONS (CLF1802) Machine Management (CLF1803) Managements's Responsibility in Farm Safety ============================================================================ (CLF1000) AGRICULTURE BUSINESS MANAGEMENT UNIT & TOPIC DIRECTORY ============================================================================ CODE UNIT TITLE CODE TOPIC TITLE ____________________________________________________________________________ (CLF1100) COMPUTERS IN (CLF1101) Review of Computers AGRIBUSINESS in Agriculture (DIR) (CLF1102) Database Management (CLF1103) Agricultural Recordkeeping and Accounting (CLF1104) Computer Glossary (CLF1150) Careers in (CLF1151) Careers in Agribusiness Agribusiness (CLF1152) Preparing for a Career (DIR) in Agribusiness (CLF1200) ECONOMIC PRINCIPLES (CLF1201) Introduction to (DIR) Economic Principles (CLF1202) Supply, Demand, and Price Determination (CLF1203) Physical Production Relationships, Values, and Profit Maximizing Level of Input Use (CLF1204) Fixed and Variable Costs, Marginal Costs and Marginal Revenue, Profit Maximizing Level of Output (CLF1205) Diversification and Specialization (CLF1206) Combination of Enterprises (CLF1207) Managing Risk (CLF1208) Economic Terminology (CLF1249) Unit Exam (CLF1250) MANAGEMENT FUNCTIONS (CLF1251) What is Agribusiness (DIR) Management? (CLF1252) Planning, Organizing, Directing, Coordinating, and Controlling in Agribusiness Management (CLF1253) The Role of a Manager (CLF1254) Characteristics of Individual Proprietorships, Partnerships, and Corporations (CLF1255) Decision-making (CLF1299) Unit Exam (CLF1300) AGRIBUSINESS (CLF1301) Review of Recordkeeping ACCOUNTING (CLF1302) Principles of Agribusiness (DIR) Accounting (CLF1303) Cash Flow Statements (CLF1304) Spreadsheet Lab Activities (CLF1305) Inventory and Depreciation (CLF1350) FINANCIAL PLANNING (CLF1351) Financial Analysis AND ANALYSIS(DIR) Recordkeeping (DIR) (CLF1352) Budgeting and Financial Planning (CLF1353) Enterprise Analysis (CLF1400) FINANCE AND CREDIT (CLF1401) Role of Credit in (DIR) Agribusiness (CLF1402) Public Sources of Credit (CLF1403) Private Sources of Credit (CLF1404) Applying for a Loan (CLF1405) Costs of Credit (CLF1406) Glossary (CLF1450) MARKETING (CLF1451) Introduction to Marketing (DIR) (CLF1452) Key Factors in Marketing (CLF1453) Marketing Strategies: Hedging and Speculation (CLF1454) Developing a Marketing Plan (CLF1455) Trading in International Markets (CLF1456) Introduction to World Trade (CLF1457) Agricultural Exports and Trade Policies (CLF1458) Marketing Procedures in World Trade (CLF1500) COOPERATIVES (CLF1501) Cooperatives Compared To (DIR) Other Business Forms (CLF1502) Agricultural Cooperatives in the United States (CLF1503) Economics of Cooperatives (CLF1504) Classes of Cooperatives (CLF1505) Organizing and Operating a Cooperative (CLF1506) Cooperative Principles and Decision-making (CLF1507) Laws and Taxes Affecting Cooperatives (CLF1508) Agencies that Serve Cooperatives (CLF1549) Unit Exam (CLF1550) SALES AND SELLING (CLF1551) An Introduction to Selling (DIR) in Agriculture (CLF1552) Skills and Knowledge Needed for Selling in Agriculture (CLF1553) Determining Needs and Wants of Customers (CLF1554) Preparing for and Approaching Potential Customers (CLF1555) Giving a Sales Presentation (CLF1556) Handling Customer Objections (CLF1557) Closing a Sale (CLF1600) AGRIBUSINESS (CLF1601) Introduction to Taxes TAXATION (CLF1602) Income Tax Management (DIR) (CLF1650) INSURANCE IN (CLF1651) Insurance Requirements for AGRIBUSINESS an Agribusiness (DIR) (CLF1699) Unit Exam (CLF1700) purchasing options (CLF1701) Purchasing Options (DIR) (CLF1750) Agricultural Law (CLF1751) Major Farm Laws (DIR) (CLF1752) Farm Leases (CLF1753) Ag Liability Laws (CLF1754) Ag Property Rights (CLF1800) Safety IN (CLF1801) Factors that Contribute AGRIBUSINESS to Farm Accidents OPERATIONS (CLF1802) Machinery Safety (DIR) (CLF1803) Management's Responsibility in Farm Safety (CLF1850) GOVERNMENT (CLF1851) Introduction to Government AGENCIES Agencies AND SERVICES (CLF1852) United States Department of (DIR) Agriculture (CLF1853) Primary Agencies Affecting Farmers (CLF1854) Cooperative Extension 12/16/91 sg #%&C