Biological assets should be divided into consumptive biological assets and productive biological assets.

Consumable biological assets refer to biological assets that will be harvested or sold as agricultural products, such as corn, wheat and other crops, timber forests, livestock for sale, cultured fish, etc.

Productive biological assets refer to biological assets other than consumable biological assets, such as livestock, draught animals and economic trees. Productive biological assets should be further divided into mature productive biological assets and immature productive biological assets. Mature productive biological assets refer to biological assets that have entered the normal production period and can harvest products or provide services for many years.

For biological assets with both productive and consumptive characteristics, enterprises should divide them into productive biological assets or consumptive biological assets for accounting and management according to the main purpose of production and operation; For biological assets that cannot distinguish between productive and consumptive characteristics temporarily, enterprises should account for and manage them as consumptive biological assets. When it can be clearly identified as productive biological assets or consumable biological assets, it will be transferred out and managed separately.

2. Enterprises should add the subject of agricultural production cost, and account for all production expenses incurred in the process of agricultural activities.

The management and protection costs incurred after mature productive biological assets reach the intended production and operation purposes shall be included in the current agricultural production costs.

3. Description of agricultural production cost (4 102)

This course accounts for all production costs in the process of agricultural activities.

The actual cost of economic trees and farmland shelterbelts before reaching the intended production and operation purposes is accounted for in the biological construction in progress, not in this account; The actual cost of achieving the intended production and operation purposes is accounted for in the account of productive biological assets, not in this account; Logging and management expenses after reaching the intended production and operation purposes shall be accounted for in this account.

Before closing hillsides to facilitate afforestation, the direct costs such as direct materials and direct labor consumed by consumptive forest assets, public welfare forests and other agricultural activities are directly included in the cost of agricultural production, debited to the subject, and credited to the subjects such as raw materials, wages payable, welfare expenses payable, cash and bank deposits.