The Dairy Farm plc manages a flock of sheep. On 30 June 20X2, 100 sheep were born, all of which were still owned by the Dairy Farm plc at 31 December 20X2. The estimated sale price of the sheep is obtained from market data, which is as follows: Fair value (per animal) £ Newborn at 30 June 20X2 20 Newborn at 31 December 20X2 21 6-month old at 30 June 20X2 23 6-month old at 31 December 20X2 24 Costs to sell the sheep of any age are estimated at 1.5% of the transaction price. What is the fair value gain recognised in respect of the 200 sheep in the Dairy Farm plc's financial statements for the year to 31 December 20X2 according to IAS 41? a. £2,364 b. £2,304 c. £2,167 d. £1,970 e. £2,300 f. £2,400

The Dairy Farm plc manages a flock of sheep. On 30 June 20X2, 100 sheep were born, all of which were still owned by the Dairy Farm plc at 31 December 20X2. The estimated sale price of the sheep is obtained from market data, which is as follows: Fair value (per animal) £ Newborn at 30 June 20X2 20 Newborn at 31 December 20X2 21 6-month old at 30 June 20X2 23 6-month old at 31 December 20X2 24 Costs to sell the sheep of any age are estimated at 1.5% of the transaction price. What is the fair value gain recognised in respect of the 200 sheep in the Dairy Farm plc's financial statements for the year to 31 December 20X2 according to IAS 41? a. £2,364 b. £2,304 c. £2,167 d. £1,970 e. £2,300 f. £2,400

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter15: Choice Of Business Entity—other Considerations

Section: Chapter Questions

Problem 86IIP

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