5 O points earned RHETT COMPANY ventured into construction of a condominium in Makati. The property was decided by the Board to be held for purposes of earning rentals by letting out space to business executives in the area. The construction of the condominium was completed and the property was placed in service on January 1, 2020. The cost of the construction was P50,000,000. The useful life of the condominium is 25 years and its residual value of P5,000,000. An individual valuation expert provided the following fair value at each subsequent year end. December 31, 2020 December 31, 2021 December 31, 2022 55,000,000 53,000,000 60,000,000 I) Under the cost model, what amount should be reported as depreciation of investment property for 2020? II) Under the fair value model, what amount should be recognized as gain from change in fair value in 2020? I) 2,000,000 II) 3,000,000 I) ZERO (0) II) ZERO (0) 1) 2,200,000 II) 7,000,000 I) 1,800,000 II) 5,000,000