Question
Shan Farm reported the following biological assets and agriculture produce for the year ended December 31, 2020: ASSETS FAIR VALUE Cotton plants P820,000 Dairy cattle
Shan Farm reported the following biological assets and agriculture produce for the year ended December 31, 2020:
| ASSETS | FAIR VALUE |
| Cotton plants | P820,000 |
| Dairy cattle | 235,000 |
| Diseased cattle | 75,000 |
| Harvested cotton | 175,000 |
| Harvested cane | 120,000 |
| Milk on dairy cattle | 72,500 |
| Sheep | 325,000 |
| Sugarcane | 564,750 |
| Wool from sheep | 25,000 |
1. What amount should the Farm report in its 2020 statement of financial position as biological asset? 2. What amount should the Farm report in its 2020 statement of financial position as inventory related to the above biological assets?
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Intermediate Accounting Volume 2
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Irene M. Wiecek, Bruce J. McConomy
13th Canadian Edition
1119740444, 9781119740445
