Crossword Genius

Cut some grain in an outhouse (7)

Ross

I believe the answer is:

sheared

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'cut' is the definition.
(shear can mean to cut)

'some grain in an outhouse' is the wordplay.
'some grain' becomes 'are' (I can't justify this - if you can you should give a lot more credence to this answer).
'in' means one lot of letters goes inside another.
'an outhouse' becomes 'shed' (a shed is an outside building).
'are' placed within 'shed' is 'SHEARED'.

Can you help me to learn more?

(Other definitions for sheared that I've seen before include "Adheres (anag.)" , "Removed fleece" , "Cut wool off (a sheep)" , "Clipped" , "As sheep perhaps" .)

I've seen this clue in The Globe and Mail.
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