1) Which TWO of the following statements about IAS 20 are true? A B C D A government grant related to the purchase of an asset must be deducted from the carrying amount of the asset in the statement of financial position. A government grant related to the purchase of an asset should be recognised in profit or loss over the life of the asset. Free marketing advice provided by a government department is excluded from the definition of government grants. Any required repayment of a government grant received in an earlier reporting period is treated as prior period adjustment.