Livestock accounting

the new born calf  should go under the head bonus with nil cost.....

I AM ATTACHING A FORMAT OF THE SAME PREPARED BY ME....

Hey thanks arvind..

But my concern is what would be the effect of cost of feed, fodder, water, housing for calves. Also, if we purchase new calf from outside then its value would be much higher than considering NIL cost. If we consider Fair value concept for the same then it might be violated....

in my opinion the lower of the following for capitalising the value of calves

1. NRV

2. COST

and for feeding the calves the cost wil go to P & L account and cost for housing  will go to the Building a/c.

Hey thanks.

But Livestock is fixed asset and not stock. So we cant go as per Cost or NRV whichever is less.

Expenses related to asset should be capitalised to that asset only (subject to brought to production) and not to any other asset as per my view.

Thanks

My view is as follow:

Whatever cost (feed, fodder, milk, water, shed, interest) we incur for female calf should be entered as Livestock WIP a/c debit Cash/Bank a/c credit. And when the female calf comes to production then livestock a/c will be debited and livestock wip a/c will be credited. 

But now the concern is if we take all the above mentioned cost to that specific WIP cost then its cost may go much higher than actual purchase from outside. So, in that case what to do.

And what about male calf. They can never be capitalised as they can never come to production.

Now whether my opinion is correct or incorrect and if incorrect then why?