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FarmSMART                  
 March 2023
Trade Show Customers
Clients and friends who stopped by the FBS/MASA booth in Louisville and Orlando.

Dear Friend,

In this increasingly "virtual" world, nothing surpasses personal contact.  Thanks to the folks above for visiting our booth at the National Farm Machinery Show and the Commodity Classic this winter. 

Also this month:

  • Farm "show and tell" season comes to a close.
  • Read our March Farm Management Accounting blog posts.
  • Highly effective financial habits.
  • Have you installed the latest version?
  • How to record product rebates. 
                                                                                                                                                           SDG

Commodity Classic 2023

 Farm "Show and Tell" Season Comes to a Close

February and March were exciting times at two major-league farm shows. 

The National Farm Machinery Show welcomed 250,000 guests from around the world to explore more than 1.2 million square feet of exhibit space in Louisville, Kentucky.  We saw and met many in our new location in the North Wing.

Over 10,400 attendees – farmers as well as exhibitors, industry stakeholders and members of the media – gathered for the 2023 Commodity Classic in Orlando, Florida.

The 2023 event broke the previous Commodity Classic record of 9,770 attendees, which was held in New Orleans in 2016.

If you missed these farm shows or just missed us click here to catch up.

March Farm Management Accounting Blog Posts

March Blog

Financial management can be a crucial part of ensuring farm profitability. Conversations about the agricultural industry tend to focus more on the...

TOP 8 BENEFITS TO AUTOMATING ACCOUNTS PAYABLE FOR IMPROVING FARM OPERATIONS

Running farm operations means obtaining supplies from outside vendors and paying them on time. Accounts payable (AP) refers to the money that is owed...

 

MANAGEMENT ACCOUNTING 101 FOR FARM MANAGEMENT

Farm management covers a broad scope of factors. From inventory management to long-term production cycles, having the right tools in place for...

UNDERSTANDING HOW FARM ERP SOLUTIONS CAN IMPROVE FARM MANAGEMENT

You may have heard the term enterprise used when referring to a more traditional button up business world. And yet, it can also be applied to...

Top Producer October 2022-1Using Your Accounting Processes to Evaluate, Forecast and Plan

Has your financial reporting system grown with your operation?

Management consultant and MASA president John McNutt shares 5 highly effective financial habits in the October 2022 Farm Journal Top Producer magazine.

Have You Installed the Latest Version?

We are currently supporting two software versions:  11.7 released in April, 2022 and 11.8, which was released in October to all MASA members and is now available as a download to all current FBS clients.  Version 11.8 is faster and is built on a new database.

If you have paid for 11.8 and are running on your own computer or network and are the primary contact you will soon be receiving this Microsoft Sharepoint email invitation:

Azure Version 11.8 Invitation with Acce;t button

Please click the Accept invitation button and follow the instructions.  Once you've set up your account you'll receive a link to download Version 11.8.

If you are running on AgCompass, contact Sarah to schedule your data conversion (see below).

If you are unable to download, contact cheryl@fbssystems.com for a disc copy of 11.8.  Contact Sarah at support@fbssystems.com or 800.437.7638 / Extension 100 if you need help installing.

Q&A:  How to Record Product Rebates 

Q. What is the best method of recording/accounting for rebates on medications in FBS?  We are using the Drug Inventory module.
Sarah 2019

Sarah Dixon, FBS Support Coordinator
sarah@fbssystems.com (800.437.7638/extension 100). 

A. I usually use a credit entry to an unlinked (non-inventory) expense ledger account and non-group center to record "after-the-fact" rebates on products like pharmaceuticals, seeds, and crop chemicals.  While this method won't affect group-level work in process costs, it will properly adjust medication costs at the entity and profit center level.  To associate with all groups or projects that consume this product, you would need to back-date a credit AP to the product through a linked account with 0 quantity and negative dollars to lower the unit costs before the product is consumed. If you don't want to go backwards you can post the adjustment directly to the group(s) that need to receive the discount using the unlinked ledger mentioned above or through a general consolidating center and spread it across evenly to all groups.

Editor's comments:  When dealing with "after-the-fact" rebates you need to consider: 1) How "material" is this rebate? 2) Is qualifying for rebates more of a financing/G&A  (as opposed to production) activity? 3) Is the rebate amount known when the purchase occurs so it can be treated as just another discount?
 
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