Keyser’s Fleece Inc. holds a drove of sheep. Keyser shears the sheep on a semiannual basis and then sells the harvested wool into the specialty knitting market. Keyser has the following information related to the shearing sheep at January 1, 2015, and during the first six months of 2015.

Prepare the journal entry(ies) for Keyser’s biological asset (shearing sheep) for the first six months of 2015.

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Shearing sheep Carrying value (equal to net realizable value), January 1, 2015 74,000 Change in fair value due to growth and price changes 4,700 Change in fair value due to harvest (575) Wool harvested during the first 6 months (at NRV) 9,000