Reference no: EM132568014

On January 1, 2017, an entity has a herd of 100 2-year old animals.

Ten animals aged 2.5 years were purchased on July 1, 2017 for P10, 800 each.

Ten animals were born July 1, 2017.

No animals were sold or disposed during the year.

The fair value less cost to sell per unit were:

2-year old animal, 1/1              10,000

2.5-year old animal, 7/1                10,800

New born animal, 7/1                       7,000

2-year old animal, 12/31                10,500

2.5-year old animal, 12/31                  11,100

Newborn animal on 12/31                        7,200

3-year old animal on 12/31                       12,000

0.5-year old animal on 12/31                            8,000

Question 1: What is the gain from biological asset attributable to price change?

Select one:

a. 292,000

b. 55,000

c. 237,000

d. 222,000