ABSTRACT
Although the bottom line is of great importance in itself, other types of financial data are also needed to properly evaluate a firm’s performance. The successful agribusiness manager must understand what the firm did (or failed to do) that led to the resulting bottom line, and the successful manager uses this information to improve the bottom line in the future. This is what the study of financial management is all about. The successful manager understands the financial operations of the firm well enough to use this information as a tool for improving firm performance. Although the bottom line provides a
benchmark for comparison, successful agribusiness managers must understand the interrelationships of other accounts on the balance sheet and the income statement to properly manage the business.
