TABLE 2
                        INVENTORY CHANGES, 2004                         
        North Dakota Farm Business Management Education Program
                              State Report
                    (Farms Sorted By Net Farm Income)

                                     Avg. Of                         
                                    All Farms     Low 20%    High 20%

Number of farms                           434          86          87

Net cash farm income                   73,289      22,896     166,035

CROPS AND FEED
  Ending inventory                    119,617      51,290     278,781
  Beginning inventory                 127,343      73,926     279,164
  Inventory change                     -7,726     -22,636        -383

MARKET LIVESTOCK
  Ending inventory                     40,586      23,264      59,690
  Beginning inventory                  37,290      22,844      46,189
  Inventory change                      3,296         420      13,501

ACCTS RECEIVABLE & OTHER CURRENT ASSETS
  Ending inventory                     29,630      19,834      52,517
  Beginning inventory                  15,671       7,092      32,578
  Inventory change                     13,959      12,742      19,939

PREPAID EXPENSES AND SUPPLIES
  Ending inventory                     12,957       2,876      35,313
  Beginning inventory                  12,450       4,740      30,532
  Inventory change                        508      -1,863       4,781

ACCOUNTS PAYABLE & ACCRUED EXPENSES
  Beginning inventory                  15,626      14,696      18,926
  Ending inventory                     18,643      19,614      21,333
  Inventory change                     -3,018      -4,918      -2,407

Total inventory change                  7,018     -16,255      35,431

Net operating profit                   80,307       6,641     201,466