The Wisconsin Dairy Farm Ratio Benchmarking is a spreadsheet-based tool. It compares dairy farm’s financial status with more than 500 dairy farms in the state.
The Agriculture Financial Advisor dataset collected and maintained by the University of Wisconsin Center for Dairy Profitability is the foundation for this benchmarking analysis.
This tool calculates 15 financial measures:
Liquidity: Current Ratio, Net Working Capital
Solvency: Debt Asset Ratio, Equity Asset Ratio
Profitability: Net Farm Income, Rate of Return on Farm Assets, Rate of Return on Farm Equity, Operating Profit Margin Ratio
Repayment Capacity: Term Debt Coverage Ratio, Replacement Margin
Financial Efficiency: Asset Turnover Ratio, Operating Expense ratio, Depreciation Expense Ratio, Interest Expense Ratio, and Net Farm Income Ratio.
Also, the Wisconsin Dairy Farm Ration Benchmarking tool performs a DuPont Analysis.