I University ol Kentucky--College of Agriculture . EXTENSION DIVISION THOMAS P. COOPER, Dean and Director Circular No. 240 September, 1930 Published in ('l>l`Illt:(‘ll(>Il with the Vlg`l`lL‘Ulll.ll'1ll extension work carried mi by cooperation of the ("ollege of Agriculture, University of Kentucky, with the U. S. Department of Agriculture, and distributed in furtherance of the work provided for in the Act of Congress of Nay S, 191-l. A Kentucky Farm Which Was Organized Into An Eflicient Business Unit By Z. L. GALLOWAY August 28, 1930. Prior to the formation and execution of the reorganization plan this 96-acre farm was being operated under similar conditions and in much the same way as thousands of other farms in the state. The available labor on the farm consisted of the farmer, his wife and their - two small sons. Operating capital was an important limiting factor in making desirable improvements on the farm. The principal products sold were dark tobacco, hogs and cream. Very little lime or fertilizer was being used and as a result clover and alfalfa could not be grown successfully. The land is rolling and inclined to erode badly under poor soil management practices. The total value of products produced on the farm amounted to HlJ0l1t $1,850 per year, The expenses amounted to about $750, leaving Only $1,100 as a return to labor and capital. WEAK POINTS OF THE OLD SYSTEM 1. Poor balance between crop and livestock enterprises. More land, labor and capital were being used in the production of tobacco than the ma1·ket o1· farm conditions would justify. So much land was being used in the production of the crop that it could not be restricted [0 g00