Beef Co was created as at 31 December 2020 The Company purchased 100 immature calves and 20 mature cows were acquired at the date of establishment Cattle becomes mature after one year General information regarding fair values of cattle and costs to sell the cattle are provided within the table 31 December 2019 31 December 2020 31 December 2021 Fair value per unit immature $90 $100 $105 Fair value per unit mature $137 $150 $153 Transportation cost per unit $0 90 $1 $1 1 Required What is the value of the biological assets to be reported as at 2020 year end (2 points) What is the value of the biological assets to be reported as at 31 December 2021, assuming that no changes in the quantity of cattle took place during the year (1 point) Starting from 2022 the Beef Co started slaughtering the cattle and selling carcasses to the local meat market The Companys accounting policy was to treat living animals in accordance with IAS 41 Agriculture , while carcasses were accounted in accordance with IAS 2 Inventories Is accounting treatment of live cattle and carcasses correct Please give your comments (1 point)

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Beef Co was created as at 31 December 2020. The Company purchased 100 immature calves and 20 mature cows were acquired at the date of

Beef Co was created as at 31 December 2020. The Company purchased 100 immature calves and 20 mature cows were acquired at the date of establishment. Cattle becomes mature after one year.

General information regarding fair values of cattle and costs to sell the cattle are provided within the table:

	31 December 2019	31 December 2020	31 December 2021
Fair value per unit immature	$90	$100	$105
Fair value per unit mature	$137	$150	$153
Transportation cost per unit	$0.90	$1	$1.1

Required:

What is the value of the biological assets to be reported as at 2020-year end? (2 points)
What is the value of the biological assets to be reported as at 31 December 2021, assuming that no changes in the quantity of cattle took place during the year? (1 point)
Starting from 2022 the Beef Co started slaughtering the cattle and selling carcasses to the local meat market. The Companys accounting policy was to treat living animals in accordance with IAS 41 Agriculture, while carcasses were accounted in accordance with IAS 2 Inventories. Is accounting treatment of live cattle and carcasses correct? Please give your comments. (1 point)