MCP - Biological Assets

1. Columbia Company
Biological
Assets PPE Inventory
Freestanding trees 5,000,000
Land under trees 900,000
Roads in forest 500,000
Animals related to recreational activities 2,000,000
Bearer plants 1,500,000
Bearer animals 1,000,000
Agricultural produce harvested 2,000,000
Agricultural produce growing on bearer plants 600,000
Total 6,600,000 4,900,000 2,000,000

2. Africa Company
Acquisition Cost 5,000,000
Change in FV due to growth and price change 350,000
Decrease in FV due to harvest (50,000)
Carrying amount of biological asset 5,300,000

3. Legend Dairy
A.
Change in FV due to growth and price change 400,000
Decrease in FV due to harvest (50,000)
New Born 200,000
Net gain from change in FV 550,000

B.
Milk harvested 250,000

C.
Carrying amount, 1/1 2,000,000
Net gain from change in FV 550,000
Carrying amount, 12/31 2,550,000

4. Righteous Company
A.
Acquistion cost, 12/31/2017 6,000,000
Increase in FV on initial recognition 500,000
Carrying amount, 12/31/2017 6,500,000
Change in FV due to growth and price change 900,000
Decrease in FV due to harvest (100,000)
Carrying amount, 12/31/2018 7,300,000

B.
Change in FV due to growth and price change 900,000
Decrease in FV due to harvest (100,000)
Net gain from change in FV 800,000

5. Jamaica Company

Cost 3,500,000
NRV 3,200,000

LCNRV 3,200,000

6. Temerity Company
A.
15 Horses (2-yr old) 1,350,000
10 Dairy Cattle (3-yr old) 580,000
8 Carabaos (3.5-yr old) 290,000
20 Hogs (4-yr old) 600,000
4 Dairy Cattle (1.5-yr old) 200,000
6 Carabaos (1-yr old) 140,000
Carrying amount, 12/31 3,160,000
B. Price change (same age, different period)
15 Horses (1-yr old) (1,200,000 - 1,000,000) 200,000
10 Dairy Cattle (2-yr old) (520,000 - 400,000) 120,000
8 Carabaos (2.5-yr old) (250,000 - 200,000) 50,000
20 Hogs (3-yr old) (550,000 - 500,000) 50,000
4 Dairy Cattle (1-yr old) (170,000 - 150,000) 20,000
6 Carabaos (0.5-yr old) (110,000 - 100,000) 10,000
Gain from change in FV due to price change 450,000

C. Physical Change (different age, same period)

15 Horses (2-yr old) (1,350,000 - 1,200,000) 150,000

10 Dairy Cattle (3-yr old) (580,000 - 520,000) 60,000
8 Carabaos (3.5-yr old) (290,000 - 250,000) 40,000
20 Hogs (4-yr old) (600,000 - 550,000) 50,000
4 Dairy Cattle (1.5-yr old) (200,000 - 170,000) 30,000
6 Carabaos (1-yr old) (140,000 - 110,000) 30,000
Gain from change in FV due to physical change 360,000