January 1, 2013 2-year-old Cattle 12,000 New Born Cattle 4,000 December 31, 2013 2-year old cattle 13,000 3-year old cattle 15,000 1-year old cattle 7,000 Newborn 5,000 The company records separately the increase in fair value less cost to sell due to physical change and change in fair value less cost to sell due to price change. • How much shall be taken to profit or loss as a gain arising from a change in fair value due to physical change? • How much shall be taken to profit or loss as a gain arising from a change in fair value due to price change? 3. What amount shall be presented on the statement of financial position on December 31, 2013, under the caption Biological Assets?

January 1, 2013 2-year-old Cattle 12,000 New Born Cattle 4,000 December 31, 2013 2-year old cattle 13,000 3-year old cattle 15,000 1-year old cattle 7,000 Newborn 5,000 The company records separately the increase in fair value less cost to sell due to physical change and change in fair value less cost to sell due to price change. • How much shall be taken to profit or loss as a gain arising from a change in fair value due to physical change? • How much shall be taken to profit or loss as a gain arising from a change in fair value due to price change? 3. What amount shall be presented on the statement of financial position on December 31, 2013, under the caption Biological Assets?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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