Reference no: EM132788403

Problem - Forester Company provided the following assets in a forest plantation and farm:

Freestanding trees 5,000,000

Land under trees 600,000

Roads in forest 300,000

Animals related to recreational activities 1,000,000

Bearer plants 1,500,000

Bearer animals 2,000,000

Agricultural produce growing on bearer plants 800,000

Agricultural produce harvested 1,200,000

Plants with dual use 1,400,000

Required -

Q1. What total amount should be reported as biological assets?

a. 7,800,000

b. 7,200,000

c. 8,400,000

d. 9,200,000

Q2. What total amount should be included in property, plant and equipment?

a. 4,600,000

b. 3,400,000

c. 1,800,000

d. 4,200,000