ANS2 2.01

APPLY WORK-BASED &
EXPERIENTIAL LEARNING

IN ANIMAL SCIENCE

Animal Science 2

2.01 Exemplify records used in
work-based and experiential

learning.

• 1. A written record that conveys the financial activities, position, and performance of a person or company.

• 2. Often used during auditing by accountants, governing boards, firms, etc. to ensure accuracy and for tax, financing, or investing purposes.​

Financial Statement

Elements

Assets - items owned of value

Current assets – items that can quickly be converted to cash or that will be sold within 12 months
Examples: cash on hand, checking and savings accounts, stocks, bonds, and cash in value of life insurance, money others owe you, current non‐depreciable inventory.

Elements

Assets - items owned of value

Non‐current assets – items that have a useful life of more than one year and are used in the business
Example: non-current or non-depreciable inventory like land

Multiple Choice

What is NOT an example of a current asset?

• land

• life insurance

• cash on hand

• stocks

Provides value to items as age, use, and deterioration occurs over time.​

Depreciation

​An itemized list of business or personal assets. Includes both current and noncurrent assets.

​

Inventory

1. Current liabilities – accounts and notes payable, this year’s part of non-current liabilities 

2. Non-current liabilities – mortgages and other debts not due this year

Liabilities - debts owed

Net Worth

Net worth or owner’s equity = total assets minus total liabilities 

Multiple Choice

A mortgage loan is an example of an....

• Current Liability

• Non-current Liability

The financial status of a business. Generated periodically to show trends in profits and loss.

Balance Sheet

Total Liabilities / Total Net Worth

Debt to Equity Ratio

Elements

A financial plan that allocates future personal income towards savings, philanthropy, expenses, and taxes

Personal Budget

Developing a Personal Budget

Assess your personal and financial situation (needs, values, lifestyle)
Set personal and financial goals
Create a budget and for fixed and variable expenses based on income

Expenses that change in proportion to how much is produced
Examples: Clothing, gas

Variable Costs

Expenses that are constant
Examples: Rent, employee salaries, etc.

Fixed Costs

Developing a Personal Budget

Developing a Personal Budget

Monitor spending patterns.
Compare your budget to what is spent.
Review financial progress and revise.

Poll

Do you have a personal budget?

• Yes

• No

​Checking account - a service provided by banks/credit unions which allows individuals and businesses to deposit money and withdraw funds from a federally protected account.
Checks, debit cards, and/or ATM cards may be used to access funds.

Personal and Business Financial Tools

Credit - money that is made available based on the ability of the borrow to repay.
Examples: Loans and credit cards (interest fees may apply)

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Personal and Business Financial Tools

Personal and Business Financial Tools

Individual Retirement Account (IRA)

A savings account with tax advantages that individuals can use to save and invest long-term

Multiple Choice

What is an example of a fixed cost?

• Rent

• Gas

• Groceries

A mandated contribution to local, state, and federal government systems

Taxes

Benefits provided to employees in addition to their bonuses, stock options, etc.

Non-wage compensation

Personal and Business Financial Tools

QUESTIONS?

1. WHAT IS THE PURPOSE AND KEY

COMPONENTS OF A FINANCIAL

STATEMENT?

2. WHAT ARE THE TOOLS OF PERSONAL

FINANCIAL PLANNING?