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.

Question

Quizplus · Accepted Answer

Biological assets are to be valued at fair value, which includes changes in its value over time. Any increase in value should be treated as income. It does not need to be amortized as it is not a fixed asset.

Biological Assets Are