Part A: An entity wants to fair value some of its motor vehicle assets, which consist of approximately 20 vehicles of various but common commuter-type cars. How would the entity go about fair valuing those motor vehicles and what factors would it need to consider? (5 marks)

Part B: The concept of the highest and best use to value an asset was criticized to the fair value exposure draft. They argued that it may not reflect the actual use of the asset by the entity and therefore provides a misleading valuation for the asset under consideration. Why did the IASB propose this definition and how is it justified in situations where the use is clearly different? (5 marks)

Part C: An entity wants to determine the fair value of the animals in their wildlife sanctuary. The animals are held for the purpose of preservation and breeding. What is your recommendation for how the entity should go about measuring these biological assets? In your response, provide an explanation of possible alternatives and justify your recommendations. (5 marks)