Farmer Concord Industries Inc. is in the business of producing organic foods for sale to restaurants and in local markets. The com uses IFRS and has a June $30$ fiscal year end.

As an experiment, the company has decided to try raising organic free$-$range chickens. On May $1,2023,$ Farmer Concord purchas $110$ new hatchlings for cash at a total cost of $$1,060.$ The company paid cash for feed and labour costs of $$160$ per month to look the chicks. Their $($acceptable$)$ accounting policy is to capitalize these costs.

On June $30,$ the company estimated that the chickens would mature in mid$-$October. At year end, the chickens had a fair value of $$1,900,$ and the company would have to transport them to its customers at an average cost of $$3$ per chicken.

On October $30,$ all $110$ chickens had matured and the company sold and shipped $50$ of the chickens to one of its key customers fo per chicken. Transportation costs were $$3$ per chicken, as expected.