An application on culture production of fishery products for accounting living assets according to the agricultural activities standard

The main factor that brings out International Accounting Standarts is the need for a common accounting language which ensures financial information and explanations are understandable for every user as globalization develops day by day. IAS-41 Agricultural Activities is one of the international accounting standarts. The primary purpose of this standart is to determine the accounting methods and explanations for agricultural activities. Valuation is an important tool figured in the accounting methods specified in the standard and directly affects the financial statements of agricultural enterprises. Agricultural products are susceptible to many biological effects such as growth, decay and dying. These characteristics, which are specific to agricultural products, make valuation of biological assets very important in agricultural enterprise. According to the Tax Procedure Law, agricultural products should be valued with historical cost method. As for Turkish Accounting Standarts fair value approach should be applied during the valuation of agricultural products. The financial statements of agricultural enterprises vary in accordance with the valuation method used. These changes have a direct impact on the decisions of beneficiaries. The aims of this practice are comparing the value of biological assets measured in accordance with historical cost and fair value methods and analyzing the financial statements obtained as a result of each valuation. In this context, a case study was conducted in sea cucumber aquaculture facility located in the province of Izmir and the information acquired was evaluated. Keywords: Agricultural Products, Valuation, Historical Cost, Fair Value, Sea Cucumber.