Identification should include

• financial analysis using accrual-adjusted income statements and balance sheets
• debt structure
• repayment capacity
• asset utilization
• efficiency
• budget planning
• enterprise
• whole farm
• partial budgets
• cashflow budgets
• incoming cash
• outgoing cash
• borrowing needs
• variance analysis
• maintaining a record-keeping system
• avoiding penalties
• financial assistance services.

Process/Skill Questions:

• How can the budgeting process help determine if corrective actions need to be taken?
• What is variance analysis?
• What are the three primary levels of profitability?
• What is the asset turnover ratio, and what is it used for?
• Why is budgeting considered a process of looking forward?