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Problem 22-2 (IFRS) Joan Company provided the following data: Problem 22-4 (IAA) Value of biological asset at acquisition cost on December 31, 2020 Legend Dairy produced milk . local ice cream producers. Fair valuation surplus on initial recognition at fair The entity began operations at me beginning of current year value on December 31, 2020 6,000,000 by purchasing milking cows for P2,000,000 Change in fair value on December 31, 2021 due to growth and price fluctuation 500,000 Decrease in fair value due to harvest in 2021 The entity provided the following information at year-end relating to the milking cows: 900,000 1. What is the carrying amount of the biological asset on 100,000 December 31, 2021? Carrying amount - beginning Change in fair value due to growth and price change 2,000,000 7,400,000 Decrease in fair value due to harvest 400,000 a. 7,300,000 Newborn calf at year-end at fair value 50,000 b. Milk harvested during the year but not yet sold 200,000 C. 7,500,000 d. 6,500,000 250,000 2. What amount of net gain from change in fair value of 1. What amount of net gain on biological asset should be reported in the current year? biological asset should be reported in the 2021 income statement? 400,000 1,400,000 b. 350,000 b . 1,300,000 C. 800,000 C. 900,000 d. 550,000 800,000 Problem 22-3 (IFRS) 2. What amount of gain on agricultural produce should be recognized in the current year? Salve Company is engaged in raising dairy livestock. The entity provided the following information during the current a. 250,000 200,000 year: b. C. 600,000 Carrying amount - beginning d. 650,000 Increase due to purchases 5,000,000 Gain arising from change in fair value 2,000,000 Decrease due to sales 1,000,000 3. What is the carrying amount of the biological asset at Decrease due to harvest 850,000 year-end? 200,000 What is the carrying amount of the biological asset at a. 2,000,000 year-end? b. 2,400,000 a. 6,950,000 c. 2,550,000 b. 6,000,000 d. 2,800,000 8,000,000 d. 7,150,000 486 487