PROBLEM 5-6 On Jan. 1, 2020, an entity purchased 100 cows which are three(3) years old for p16,000 each for the purpose of producing milk for the local community. On July 1, 2020 the cows gave birth to 30 calves. The fair value less estimated point of sale costs are as follows: New born calf on July 1, 2020 P6,000 New born calf on Dec. 31, 2020 7,000 1/2 year old calf on Dec. 31, 2020 9,000 3 year old cow on Dec. 31, 2019 20,000 3 year old cow on Dec. 31, 2020 23,000 4 year old cow on Dec. 31, 2020 26,000 There is milk harvested during the year but not sold. At fair value less estimated point of harvest cost, the milk is worth P250,000