Exam 20: Agriculture

Which of the following meets the definition of agricultural produce?

Which of the following is NOT considered an agricultural activity?

Fishy Co. operates a fish farm. IAS 41 requires live immature fish to be valued at:

Which standard was issued in 2011 that amended IAS 41?

Agricultural produce is defined in IAS 41 as:

Milko owns dairy cattle. The market value of the cattle is calculated by reference to the litres of milk able to be produced and the lactation rate of the cows. The cattle are regularly sold at auction. Costs incurred to transport the cattle to auction are €500 per truck. Each truck can transport approximately 100 cattle. Number of mature cows held at 30 June 2016 5000 Average litres of production per cow 6000 litres Lactation rate 50\% Price per litre 40 cents The market value for each cow at 30 June 2016 is:

IAS 41 requires disclosure of which of the following relating to government grants?

Increases in fair value over cost in relation to land used for agricultural purposes is recognised in equity when the land is:

When determining the fair value of biological assets and there is no market price for that asset in its present condition IAS 41 requires that:

Use the following information to answer questions Cow Co. is a company that farms dairy cattle. Cow Co. owns the farmland on which the cattle are located, having purchased it for £1.5 million in 2013. The land is measured at cost under IAS 16. Details of cattle at 30 June 2015 were as follows: Cows Heifers Number 900 200 Fair value (less estimated costs to sell) £800 £320 During the year ended 30 June 2016 the following occurred: $\bullet$ 200 new cows were purchased at £810 each $\bullet$ 50 heifers matured into cows $\bullet$ 5 heifers died $\bullet$ 100 cows were sold for £830 each $\bullet$ The price change between a heifer and a cow at the time of maturity during the year was estimated to be £500 The following is relevant at 30 June 2016: $\bullet$ The land has been valued at £5.6 million $\bullet$ Fair value less estimated costs to sell are as follows (Cow Co. has determined that these are the appropriate fair values to use for the purposes of transfers and deaths of heifers): o Cows - £850 /head o Heifers - £350/head -The increase in fair value of livestock attributable to price change is:

IAS 41 requires that biological assets be measured as follows:

Which of the following is NOT considered to be agricultural produce?

Which of the following would be disclosed in the Statement of Financial Position as a biological asset under IAS 41?

According to IFRS 13 Fair Value Measurement, the market used to determine fair value should be:

Which of the following require disclosures to be made under IAS 17 and IAS 41?

At 30 June 2017 the fair value of WineCo's vineyard is €2.5 million. At 30 June 2017 the following information is available: Fair value of vines prior to harvest at 31 March 2017 3,100,000 Fair value of grapes harvested at 31 March 2017 500,000 Estimated costs to sell - grapes 10,000 Estimated costs to sell - vines 20,000 The entry to recognise the grapes at the point of harvest is:

IAS 41 considers that there are three common features to agricultural diversity. Which of the following is NOT one of those features?

It is common for companies applying IAS 41 to:

Which of the following statements is correct in relation to government grants?

At 30 June 2017 the fair value of WineCo's vineyard is €2.5 million. At 30 June 2017 the following information is available: Fair value of vines prior to harvest at 31 March 2017 3,100,000 Fair value of grapes harvested at 31 March 2017 500,000 Estimated costs to sell - grapes 10000 Estimated costs to sell - vines 20,000 There have been no changes in fair values between 1 April and 30 June 2017. At 30 June 2017 the vines will be recorded in WineCo's financial statements at an amount of: