Lesson 4.3 – Balance Sheet
This is Lesson 4.3, “Balance Sheet,” from the National FFA Agri-Entrepreneurship Program (Unit 4). Using a car-building analogy, the lesson teaches students to review, analyze, and create a balance sheet for an entrepreneurship, including forecasting assets, liabilities, and owner’s equity for a business that is not yet operating. It includes a sample balance sheet transparency, a student worksheet, and a rubric for evaluation.
At a glance
- Learning objectives
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- Review an accurate balance sheet for a given entrepreneurship.
- Analyze a balance sheet to determine a business' financial health.
- Create an appropriate balance sheet for an entrepreneurship.
- Time required
- 60 minutes
- Materials
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- Writing surface
- Writing utensil
- TM.1 (Electronic version for projection or one transparency copy)
- Copies or AS.1 for each student
- Overhead and/or projector
- Precepts
- C. Vision (C1. Contemplate the future); J. Mental Growth (J1. Think critically; J3. Practice sound decision making); N. Decision Making (N1. Demonstrate the decision making process); P. Technical/Function Skills in Agriculture
- Key Terms
- Balance Sheet
- Resources
- National FFA Organization. Essential Learnings. 2003; Elliott, Jack. AgriBusiness Decisions and Dollars. 1999; Zimmerer, Thomas and Scarborough, Norman. Entrepreneurship and New Venture Formation. 1996; Birley, Sue and Muzyka, Dan. Mastering Entrepreneurship. 2000
Downloads & Links
Aligned Standards
National Standards
- NM-NUM.9-12.3Compute fluently and make reasonable estimates
- NSS-EC.9-12.13Income and Earning — Understand that in a labor market, in the absence of other changes, if wage or salary payments increase, workers will increase the quantity of labor they supply or firms will decrease the quantity of labor they demand.