4. On January 1, 2020, Karakaraka Co. started construction of a new office building on January 1, 2020 and moved into the finished building on July 1, 2021. Of the P25,000 total cost of the building, P20,000 was incurred in 2020 evenly throughout the year. The entity's incremental borrowing rate was 12% throughout 2020, and the total amount of interest incurred was P1,020,000. What amount should be reported as capitalized interest on December 31, 2020? 5. Patriotic Company purchased a machine for P6,000,000 on January 1, 2019 and received a govemment grant ofP600,000 toward the asset cost. The accounting policy is to treat the grant as a reduction in the cost of the asset. The machine is to be depreciated on a straight line basis over 10 years with a residual value of P500,000 On January 1, 2021, the grant becomes fully repayable because of noncompliance with conditions. 0000 What is the depreciation for 2019? What is the depreciation for 2021? What is the carrying amount of the machinery at the end of 202 1? d. What is the depreciation for 2022