Biological assets are:
A) recognised as income when sold.
B) to be valued at market value, with any increase being capitalised and amortised over the period until the asset is sold.
C) to be valued at market value, with any increase being treated as income.
D) to be valued at fair value, with any increase being treated as income.
E) to be valued at fair value, with any increase being capitalised and amortised over the period until the asset is sold.

Question

Quizplus · Accepted Answer

Biological assets are to be valued at fair value, with any increase being treated as income. However, the increase should not be capitalised and amortised over the period but should be recognised as income in the period when the increase occurs.

Biological Assets Are