Part 2: Completing the Application
V. Candidate’s Financial Balance Sheet Statement (candidate’s share only)
This is a list of assets and liabilities of an individual business. Assets minus liabilities equal equity/net worth.
This section covers anything of value that you owned and used to conduct your SAE program, as well as to qualify for
the American FFA Degree.
The next set of instructions
corresponds to Page
9 through 11 in the
This category includes cash, money in a checking account and other assets that you own that you can convert into
cash within one year without disrupting your business.
- Savings Account
- Checking Account
- Nursery Stock -Trees and Shrubs
- Bedding Plants
- U.S. Savings Bonds
- Fish food
- Tree fertilizer left over from last year
- Hay, 150 tons
- Accounts receivable - Hay sold to Smith Farms
- Thirty 175-pound feeder pigs
a. Cash on-hand, checking and savings
This total is for items that you can readily convert into cash.
b. Cash value-bonds, stocks and life insurance
This is the actual cash value of any item turned into cash. You should include only the cash surrender value of a life
insurance policy, not the face value. Remember that some life insurance policies have no cash value.
c. Notes and accounts receivable
This area deals with money others owe you for items you sold or services you provided. One example: You have sold
10 rabbits to your neighbor in December, but she has not paid you for two months. Until she pays you for the rabbits,
list the value of the sale as an account receivable. Another example: You cared for your neighbor’s yard while he was
on vacation in November and December. When he returns in January, he plans to pay you for the service you provided.
The cost for your yard service is an account receivable.
1. Current/Operating Assets:
Financial Balance sheet continued on page 22
d. Current/Operating Inventory
Current/Operating Inventory includes all items that normally have a useful or intended “life” o