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Chapter
32/
Agriculture (lAS 41)
(d) At the resale value separate from the bio–
logical asset that has been grown on the
land.
Answer: (b)
13. An unconditional government grant related to a
biological asset that has been measured at fair value
less point-of-sale costs should be recognized as
(a) Income when the grant becomes receivable.
(b) A deferred credit when the grant becomes
receivable.
(c) ' Income when the grant application has been
submitted.
(d) A deferred credit when the grant has been
approved.
Answe r : (a )
14. If a government grant is conditional on certain
events. then the grant should be recognized as
(a) Income when the conditions attaching to the
grant are mel.
(b) Income when the grant has been approved.
(c) A deferred credit when the conditions at–
tached to the government grant are mel.
(d) A deferred credit when the grant is
approved.
Answer: (a)
15. Where there is a producti on cycle of more than
one year, the Standard encourages separate disclosure
of the
(a) Physical change only.
(b) Price change only.
(c) Total change in value.
(d) Physical change and price change.
Answe r : (d)
16. Which of the following information should be
disclosed under lAS 41?
(a) Separate disclosure of the gain or loss relat–
ing to biological assets and agricultural pro–
duce.
(b) The aggregate gain or loss arising on the ini–
tial recognition of biological assets and agri–
cultural produce and the change in fair value
less estimated point-of- sale costs of biologi–
cal assets.
(c) The total gain or loss from biological assets,
agricultural produce , and from changes in
fair value less estimated point-of-sale costs
of biological assets.
(d) There is no requirement in the Standard to
disclose separately any gains or losses.
Answe r : (b)
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