b) KK Ltd, a manufacturer and supplier of aluminum utensils for households, has recently established a new facility in Kumasi. To help in this new operation, KK Ltd have secured a number of grants from the Government of Ghana and are unsure how the grants are to be accounted for in the financial statements. The company has a year end of 30 April 2021 and all the following transactions took place at 1 May 2020. i) KK Ltd has been awarded a grant for GH80,000, to be received over three respect of providing employment to fresh graduates in the area. years, in ii) KK Ltd received a GH5,000 grant from the Ministry of Business Development for the initial training of the new employees. iii) The company also received a grant of GH120,000 from the Ministry of Special Development Initiative towards the acquisition of a GH600,000 machine. The machine has a useful economic life of 8 years and an estimated residual value of GH60,000. Depreciation is on the straight-line basis. Required: Explain how each of the above should be accounted for in the financial statements of KK Ltd for the year ended 30 April 2021, in accordance with IAS 20: Accounting for Government Grants and Disclosure of Government Assistance (5 marks) c) The definition of a liability forms an important element of IABS's Framework for Preparation and Presentation of Financial Statements which in turn forms the basis of IAS 37 Provisions, contingent liabilities and contingent assets. Required: (2 marks) (Total: 15 marks) 1) Distinguish between a provision and a contingent liability. ii) Describe the circumstances under which provisions should be recognized