AJUMA Farms operates a farm with various plants and a herd of animals. On January 1, 2021, it had ten (10) 1-year old animals and five (5) 2-year-old animals. On July 1, two animals were born. On December 31, 2021, three (3) 2-year-old animals were sold. Fair value less cost of disposal per unit are shown below: 1-year old animal on January 1 1-year old animal on December 31 2-year-old animal on January 1 2-year-old animal on December 31 3-year-old animal on December 31 New born animal on July 1 500 600 650 800 950 300 New born animal on December 31 350 0.5-year-old animal on December 31 400
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2. What is the fair value of the biological assets on December 31, 2021?
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- On December 30, 2021, the Green Pasteur Farms slaughtered cows with fair value of P 400,000. Estimated cost to sell of P 20,000 includes transportation cost of P 3,000 to bring the cows to slaughter house, and another transportation cost of P 2.000 to bring the carcasses to the market. At year-end, no meat had been sold but its fair value on this date is P 410,000 while its net realizable value is P 405.000. What amount should the agricultural produce be recorded on December 30, 2021? a. P 383,000 b. P 382,000 c. P400,000 d. P 385,000Honey Company has a herd of 102-year old animals on January 1, 2016. One animal aged 25 years was purchased on July 1 , 2016 for P108 , and two animal was born on December 31, 2016 No animal were sold or disposed of during the year. The fair value less cost of disposal per unit is as follows: 100 108 70 105 2-year old animal on January 1 25-year old animal on July 1 New born animal on July 1 2-year old animal on December 31 2.5-year old animal on December 31 Newborn animal on December 31 3-year old animal on December 31 0.5-year old animal on December 31 ary 111 72 120 80 What is the total amount to be presented in 2016 Statement of Comprehensive Income?A group of thirty 2-year old cattle was held at January 1, 2021. On this same date, additional five 2-year old cows were purchased at P12,500 each and five healthy calves were born. No cows or calves were sold during the year. Per unit fair values less costs to sell were as follows:January 1, 2021 2-year old cattle-12,500 Newborn cattle-4,000December 31, 2021: 3-year old cattle-15,000 2-year old cattle-13,000 1-year old cattle-7,000 Newborn cattle-4,500The company records separately the increase in fair value less costs to sell due to physical change and due to price change.How much is the change in fair value less costs to sell due to price change?
- A group of thirty 2-year old cattle was held at January 1, 2021. On this same date, additional five 2-year old cows were purchased at P12,500 each and five healthy calves were born. No cows or calves were sold during the year. Per unit fair values less costs to sell were as follows:January 1, 2021: 2-year old cattle-12,500 Newborn cattle-4,000December 31, 2021: 3-year old cattle-15,000 2-year old cattle-13,000 1-year old cattle-7,000 Newborn cattle-4,500The company records separately the increase in fair value less cost to sell due to physical change and due to price change.How much is reported as change in fair value less cost to sell due to physical change?On July 1, KAW Inc. purchased 75 cows which, at that time were 2.5 years old for a total cost of P1,350,000. On December 31, the cows gave birth to 15 calves. The following information on fair value less cost of disposal of biological assets is made available: (Refer to image) What amount of gain from biological assets will KAW Inc. report in its December 31 Income Statement? 2.5 year old cow on deceber 31 20,000 3 years old cow on december 31 25,000 new born calf on july 1 5,000 new born calf on december 31 6,500As of January 1, Company A has a stock of 1,250 2 year-old cows and 850 1 year-old heifers. The Company purchased 300 1-year old heifers on July 1 for P154. In addition, 50 heifers were born on July 1. The following fair value less costs to sell are provided: 1 y/o heifers, January 1 300 2 y/o cows, January 1 224 New born heifers, July 1 146 1 y/o heifers, July 1 154 New born heifers, Dec 31 136 6-month old heifers, Dec 31 135 1 y/o heifers, Dec 31 150 1.5 y/o heifers, Dec 31 164 2 y/o heifers, Dec 31 173 2 y/o cows, Dec 31 219 3 y/o cows, Dec 31 233 Determine net loss in fair value of the biological assets during the year.
- The Dairy Farm plc manages a flock of sheep. On 30 June 20X2, 100 sheep were born, all of which were still owned by the Dairy Farm plc at 31 December 20X2. The estimated sale price of the sheep is obtained from market data, which is as follows: Fair value (per animal) £ Newborn at 30 June 20X2 20 Newborn at 31 December 20X2 21 6-month old at 30 June 20X2 23 6-month old at 31 December 20X2 24 Costs to sell the sheep of any age are estimated at 1.5% of the transaction price. What is the fair value gain recognised in respect of the 200 sheep in the Dairy Farm plc's financial statements for the year to 31 December 20X2 according to IAS 41? a. £2,364 b. £2,304 c. £2,167 d. £1,970 e. £2,300 f. £2,400A public limited company, Bandong Dairy Products, produces milk on its farms. As of January 1, 2023, the firm has stock of 1,050 cows (average age, 2 years old) and 150 heifers (average age, 1 year old). The firm purchased 375 heifers, average age 1 year, on July 1, 2023. No animals were born or sold during the year. The unit values less estimated POS costs were1-year old animal at December 31, 2023 - ₱3,2002-year old animal at December 31, 2023 - ₱4,5001.5-year old animal at December 31, 2023 - ₱3,6003-year old animal at December 31, 2023 - ₱5,0001-year old animal at January 1, 2023 and July 1, 2023 - ₱3,0002-year old animal at January 1, 2023 - ₱4,000 What is the carrying value of the biological asset to be reported as of December 31 in the statement of financial position? [A] 5,775,000 [B] 7,275,000 [C] 7,612,500 [D] 6,555,000A public limited company, Bandong Dairy Products, produces milk on its farms. As of January 1, 2023, the firm has stock of 1,050 cows (average age, 2 years old) and 150 heifers (average age, 1 year old). The firm purchased 375 heifers, average age 1 year, on July 1, 2023. No animals were born or sold during the year. The unit values less estimated POS costs were1-year old animal at December 31, 2023 - ₱3,2002-year old animal at December 31, 2023 - ₱4,5001.5-year old animal at December 31, 2023 - ₱3,6003-year old animal at December 31, 2023 - ₱5,0001-year old animal at January 1, 2023 and July 1, 2023 - ₱3,0002-year old animal at January 1, 2023 - ₱4,000 What is the increase in value of the biological asset in 2023 due to price change? [A] 870,000 [B]720,000 [C]630,000 [D]780,000
- A public limited company, Bandong Dairy Products, produces milk on its farms. As of January 1, 2023, the firm has stock of 1,050 cows (average age, 2 years old) and 150 heifers (average age, 1 year old). The firm purchased 375 heifers, average age 1 year, on July 1, 2023. No animals were born or sold during the year. The unit values less estimated POS costs were1-year old animal at December 31, 2023 - ₱3,2002-year old animal at December 31, 2023 - ₱4,5001.5-year old animal at December 31, 2023 - ₱3,6003-year old animal at December 31, 2023 - ₱5,0001-year old animal at January 1, 2023 and July 1, 2023 - ₱3,0002-year old animal at January 1, 2023 - ₱4,000 What is the increase in value of biological asset in 2023 due to physical change? [A] 870,000 [B] 720,000 [C]590,000 [D] 780,00036.A group of thirty 2-year old cattle was held at January 1, 2021. On this same date, additional five 2-year old cows were purchased at P12,500 each and five healthy calves were born. No cows or calves were sold during the year. Per unit fair values less costs to sell were as follows:January 1, 2021: 2-year old cattle-12,500 Newborn cattle-4,000December 31, 2021: 3-year old cattle-15,000 2-year old cattle-13,000 1-year old cattle-7,000 Newborn cattle-4,500The company records separately the increase in fair value less cost to sell due to physical change and due to price change.How much is reported as change in fair value less cost to sell due to physical change? a. 82,500 b. 90,000 c. 102,500Hoppy Bunny Farms (HBF) grows carrots and planted an acre of carrot seeds in July 2020. At the time of planting, HBF expensed the costs of planting, including $14,000 for seeds, $8,000 in labour, and $7,500 in soil amendments. On July 31, 2020, HBF’s year end, the company estimates that the immature carrots have a fair value of $40,000. It would cost HBF $3,000 to sell these carrots. HBF expects to incur a further $10,000 in costs in August prior to harvesting the carrots, which will be sold for approximately $120,000 less $2,000 in selling costs. HBF reports under the IFRS financial reporting framework. What amount will show in HBF’s statement of financial position as at July 31, 2020, related to the carrots? Question 23 options: a) None, all costs are expensed. b) $37,000 c) $29,500 d) $118,000