Reference no: EM132903345

A herd of 10-2- year old animals was held at January 1,2021. One animal aged 2 ½ years was purchased on July 1,2021 for ?1,080, and one animal was born on July 1,2021. No animals were sold or disposed of during the period. Per unit fair values less costs to sell were as follows:

                                     Jan. 1,2021           July 1,2021           Dec. 31,2021

New born animal                                         ?700                       ?720
½ year old animal                                                                    800
2-year old animal             ?1,000                                          1,050
2½ Year old animal                                     1,080                      1,110
3-year old animal                                                                   1,200

Problem 1: How much is the increase in fair value less estimated costs to sell due to price change?

Problem 2: How much is the increase in fair value less estimated costs to sell due to physical change?

Problem 3: How much is the fair value less estimated costs to sell of herd at December 31,2021?