FAR - BIO

Agriculture

means farming or the process of producing crops and raising livestock

PAS 41

prescribes the accounting and disclosures for agricultural and related activity

PAS 41 Applies to the following when

They relate to agricultural activity

PAS 41 Applies to the following when they relate to agricultural activity

✅ Biological assets, except bearer plants

✅ Agricultural products at the point of harvest

✅ Unconditional government grant related to Bio Assets measured @FVLCTS

PAS 41 Agriculture DOES NOT APPLY to the ff

✅Land related to agricultural activity (PAS 16 PPE)

✅BEARER PLANTS (PAS 16 PPE)

EXCPTN: AGRI PRODUCE OF BEARER PLANTS → BIO assets yan

✅Government grants (PAS 20) related to Bearer PLANTS (PAS 16 PPE)

When does PAS 41 recognize biological assets and applies to agricultural produce?

PAS 41 - recognize BIO ASSETS @the point of harvest only.

Reason: “AFTER HARVEST” - changes it to PAS 2 recognize Inventories or other applicable standard is applied.

____ cannot qualify as Biological assets

Dead animals

Dead plants

Other NON LIVING things

Bio means______

Life

Means a living plant or living animal

Biological asset

Biological Assets is classified:

1) As to Consumption -

A. Consummable (ending the life process)

A1. Consummable Plant

A2. Consummable Animal

B. Bearer (tagadala;tagabear)

-when you harvest, you don't end the life cycle

B1. Bearer Plant (Agri PRODUCE)

B2. Bearer Animal

2) As to Maturity

A. Mature

B. Immature

those that are to be harvested as agricultural produce or sold as biological assets

Consummable biological assets (CBA)

Examples of this include

✅Livestock intended for the production of meat

✅livestock held for sale

✅Fish in farms

✅ Crops such as maize (mais) and wheat

✅ Produce on a bearer plant

✅ Trees being grown for lumber (troso)

Consummable Biological Assets (CBA)

Evaluate the following statements regarding the classification of living items:

• Statement I: Living animals, whether consumable or bearer, are classified as biological assets if they relate to agricultural activity.