I need Q5

Biological Assets and Agricultural Produce (6 marks) Timber Resource Inc, a forestry company, owns timber resources in northern Quebec. The company produces lumber from these resources. During 20x3, the company cut trees into logs with a fair market value of $680,000. The selling costs estimated at the time were 6% of fair value At the end of the year, about 20% of these logs have not yet entered production. The 80% that have entered production required $199,000 of production costs to produce lumber into fixed cut lengths that are now available for sale to various customers. By the end of the year, 40% of the lumber was still on hand and ready for sale. There was no work-in-progress at the year- end. Fair-value information for assets owned at the year-end is provided below: Timber Logs fair value at end of 20X2 $10,000,000 $124,400 Voir value at end of 20x3 $10,594,000 $141,000 Costs to sell are estimated to be 6% for timber, 6% for logs and 9% for lumber. Required: 1. Prepare the journal entries to record the transactions during 20x3 as well as any entries needed to adjust year-end balances.(If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) $332,600 5349.200 Answer is complete but not entirely correct. No Transaction Credit Debit 639,200 1 General Journal Agricultural produce - logs Biological assets - timber 1 639,200 2 2 511,360 Inventory - lumber Agricultural produce - logs 511,360 3 3 199,000 Inventory-lumber Cash 199,000 4 4 426,216 Cost of goods sold Inventory -lumber 426,216 5 5 159,800 X Biological assets - timber Change in value of biological asset >> 159,800 X