According to International Financial Reporting Standards (IFRS), biological assets are valued at:
A) Cost less accumulated depreciation.
B) Fair value less estimated costs to sell.
C) Cost less accumulated depletion.
D) None of these answer choices are correct.

Question

Quizplus · Accepted Answer

According to IFRS, biological assets should be valued at fair value less estimated costs to sell, as they are considered to have a market value that can be reliably measured. This valuation method takes into account any changes in the biological asset's value, such as growth or value fluctuations, and reflects the amount that could be obtained from selling the asset. Therefore, option B is the correct answer.

According to International Financial Reporting Standards (IFRS), Biological Assets Are