Question

How do large farmers utilize surplus farm products to arrange capital needed for farming? Explain in 3 points.

Answer 1

Large farmers utilizes surplus farm products to arrange capital needed for farming by selling their crops in market and using in capital.

Answer 2

In the following ways, the large farmers utilize surplus farm products to accumulate the capital required for farming:

1. They used to sell their surplus product in the markets.

2. By selling their product they lent money to the small farmers on very high interest.

3. They deposit their money to get the high interest.