IAS 41 Agriculture

International Accounting Standard 41 (IAS 41) Agriculture, which dictates the accounting treatment and disclosures for activities within the agricultural sector. The core focus of IAS 41 is the measurement of biological assets (living animals and plants) and agricultural produce at the point of harvest, typically using the fair value less costs to sell method. Notably, the standard details which assets are included in its scope, such as biological assets and harvested produce, while explicitly excluding land and most bearer plants, which are instead covered by IAS 16. The text also provides comprehensive definitions for agricultural terms, establishes rules for the recognition of assets and related gains or losses, and specifies disclosure requirements, including how to handle government grants.