IAS 41 | Agriculture | SBR

International Accounting Standards for Strategic Business Reporting, accountants and professional business courses (students).
Learn how to account for agricultural activities.
This video explains how to measure biological assets and agricultural produce in accordance with IAS 41.
Vectors credit: freepik.com

[@maryambatool4742]

I am a teacher myself
This was the best way

[@RahmanEdu]

Thank you very much for your appreciation.

[@shahariarhasan7861]

It''s one of the best accounting tutorial i have ever seen...

[@birungiharriet2951]

Its been helpful.
Thanks

[@imtiazmohammedarafeen3972]

Very well explained esp, the journal entry on initial recognition. Thanks Sir.

[@NizamudDin-hy1iy]

Very nicely eleborated

[@ahmadshahzad3777]

The best video ever . Seen on this standard

[@syedtapu9761]

Very nice video. We want more video.

[@andrenogueira5949]

Very good video !

[@amirahros5095]

Thank you so much. This is very helpul and the best tutorial i've ever seen on RUclips ((:

[@tahahassan3407]

A day before my CA exams of ICAP..... And did IAS 41 in 19 mins

[@juliuskconsult]

Well elaborated

[@lyagobadiana3627]

Thanks. I had forgotten everything due to this lockdown but now at least I have got 35%

[@veltel1207]

the video is so clear.. amazingly it seems very easy now that i watched it. everything is detailed and very-well explained..thanks.. however, updates for this year is what's lacking.. i hope you'll make more video..its very useful..

[@stanleychigali4020]

I need a video in ifrs 9. Your presentation has a lot of clarity

[@atuwenisande499]

Thank you for this video

[@atolomartha2117]

Woww,i love your simplicity and clarity Sir 🙏

[@RahmanEdu]

Thank you very much for your appreciation. Your appreciation is my fuel.

[@aliuzair2706]

Helpful😉

[@christinankya516]

It really helped me

[@1JGale]

Great video, thanks

[@mercyintu5437]

Nice & understandable video

[@lakshmidevimailakuntla5683]

So understandable Sir. Please provide problems also for the topic

[@karlorestoamizero66]

great job for sure!!!! understable

[@Robin0095]

Thank you for doing this, very helpful :)

[@wanglili2115]

It's really informative! Thanks for uploading 💯

[@vitaapriliasari6727]

Thank you ...very clear explanation

[@theasofiabarabicho252]

Thank you sir!

[@hasanrakibul7375]

Benefited, thank you
sir

[@wasanthaarachchi295]

very good presentation. Could you share the powerpoint presentation

[@avinashjain5147]

Excellent thank you

[@evilmaknae5988]

2:53 I was studying late (around 4am) and that really creeped me out

[@manuellopezavila9517]

😂😂😂

[@frankkumi2816]

LOL Wait till you get to 4:09 "...The milking process. milk it until you can milk no more" That's so creepy!

[@Tem209]

@@frankkumi2816 yes that's how some greedy assholes like to think

[@Jonathan-vv5gg]

How can I have handouts of biological assets and related accounting treatment

[@mohammadgholami1392]

very useful

[@kevinthong9549]

The video was informative and concise, however please improve in your pronounciations thxx

[@catchatstyle3208]

Thank you

[@albertjoe1181]

So biological assets are measured at fair value or net realisable value...since we less cost to sell??

[@veasnapech1298]

Could we capitalize the hay and other maintenance fee (if any) into calf as immature asset or as expenses?

[@farougosman6289]

I like it

[@keerthubala1357]

the video was very helpful. Could you please share a video on IAS 2 inventories, I am not clear on its topic.

[@janamarielimen6361]

thankyou

[@AhmedHafez-lp1if]

thank u

[@Jonathan-vv5gg]

Thanks for this nice presentation. So how can we recognized new calf born

[@RahmanEdu]

A new calf is a new biological asset. You recognize it at fair value less cost of sales and book equal amount in profit.

[@profclaudel3569]

@@RahmanEdu how about if you buy a mature cow at a price lower than the fair value, how will you measure the cow at initial recognition?

[@JollyJoshu]

It is very nice

[@JollyJoshu]

Please add video for Financial Instruments and Revenue as well

[@RahmanEdu]

@@JollyJoshu Thank you for your recommendations. Now I have some motivation to upload more videos as my viewers are requesting. :)

[@user-kx7ch2ye9z]

Good bro
I need irfrs handout

[@akhiljohnthomas2094]

Why the accent 🙄

[@danieltee1710]

How to account for sale and death of a biological asset (for example a chicken)

[@RahmanEdu]

Sales of biological asset:
On sales of biological asset you need to de-recognize the asset. The carrying value of the asset (as measured in accordance with IAS 41) is the FV less cost of sales.
At the same time you recognize sales proceed. Assuming agriculture is the regular operating activity of the entity, sales proceed should be recorded in revenue. And the carrying value of the biological asset should be recorded in cost of goods sold. And separately selling cost is debited to the distribution expense.
If agriculture is not an ordinary activity of the entity then profit or loss on disposal should be recorded in operating section as other income/ expense.
Profit or loss on disposal = Sales proceed - Carrying value of asset - selling cost.

[@RahmanEdu]

Death of biological asset. On death biological asset is considered as harvested. Therefore it will be transferred to agricultural produce and will be measured at FV less cost to sales.
Value of the asset after death may be zero (for chicken) therefore there will be a loss on de-recognition of the asset. Loss = Carrying value of asset - 0 (or revised FV less cost to sales for dead asset, {say for cow you may still receive some value from disposal of the skin}.
If agriculture is the ordinary activity of the entity then this loss would be a part of the COGS; otherwise the loss will be accounted for in operating section.

[@profclaudel3569]

@@RahmanEdu can we consider mortality as physical change?

[@RahmanEdu]

Death is harvest. Harvest transforms biological asset into agricultural produce.

[@junaidahmed7963]

I think u should record audio in ur original accent. Its really annoying. It seems if u r pretending to be a British 🤭