Concept:The farm owner bears the risk of production because he or she is the entrepreneur who provides capital and makes the final business decisions.
Explanation:Agricultural production is exposed to many risks, such as bad weather, pests, diseases, and unpredictable market prices.
These risks can reduce the farm output or cause the farmer to earn less income than expected.
The farm owner is the one who invests money, buys inputs, and manages the farm operations.
Because the owner controls the farm and takes the critical decisions, any profit from the farm belongs to the owner.
In the same way, any loss or failure in production must also be absorbed by the farm owner alone.
Farm labourers and assistants only receive wages for their work, while the farmer's family is not legally responsible for business losses.
Therefore, the burden of production risk in agricultural business is rightly placed on the farm owner.
Answer:A. farm owner