Journal of Commerce and Accounting Research

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Performance of Farms Based on the Relationship of Farm Size and Efficiency


Affiliations
1 Assistant Professor of Accountancy, Pandit Deendayal Upadhyaya Adarsha Mahavidyalaya, Tulungia, Bongaigaon, Assam, India
2 Associate Professor, Department of Business Administration, Tezpur University, Assam, India
     

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This study attempts to provide a comparison of performance of farms based on their relationship of farm size and efficiency indicators. A series of SLRM have been conducted by taking farm size as predictor variable over a sample size of 120 paddy farms of Assam, India. Majority of absolute measures, irrespective of financial and physical in nature, show positive relation with the farm size. However, the physical ratio measures such as yield per hectare, production efficiency, man day per hectare, machine day per hectare are reversely related to the same. Yet, financial ratio measures like profit per hectare, overhead charge ratio, operating ratio, etc., indicate better performance towards the higher farm size categories. This study concludes by suggesting that on maintaining a proper liquidity position, a medium farm can be the most efficient category of farm size in Assam

Keywords

Farm Size, Farm Size Categories, Farm Performance, Measures of Performance.
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  • Performance of Farms Based on the Relationship of Farm Size and Efficiency

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Authors

Haripriya Dutta
Assistant Professor of Accountancy, Pandit Deendayal Upadhyaya Adarsha Mahavidyalaya, Tulungia, Bongaigaon, Assam, India
Anjan Bhuyan
Associate Professor, Department of Business Administration, Tezpur University, Assam, India

Abstract


This study attempts to provide a comparison of performance of farms based on their relationship of farm size and efficiency indicators. A series of SLRM have been conducted by taking farm size as predictor variable over a sample size of 120 paddy farms of Assam, India. Majority of absolute measures, irrespective of financial and physical in nature, show positive relation with the farm size. However, the physical ratio measures such as yield per hectare, production efficiency, man day per hectare, machine day per hectare are reversely related to the same. Yet, financial ratio measures like profit per hectare, overhead charge ratio, operating ratio, etc., indicate better performance towards the higher farm size categories. This study concludes by suggesting that on maintaining a proper liquidity position, a medium farm can be the most efficient category of farm size in Assam

Keywords


Farm Size, Farm Size Categories, Farm Performance, Measures of Performance.

References