Government grants 17. During 20x1, ABC Co. received a piece of land from the government. The land shall be used for farming annual crops measured at fair value less costs to sell. As of December 31, 20x1, ABC Co. has not yet complied with the condition attached to the grant. Which of the following is the correct accounting treatment for the grant? a. Credit the grant at fair value less costs to sell and set up a deferred charge. 6. Debit the grant at fair value less costs to sell and credit a liability for the same amount. c. Debit the grant at fair value less costs, to sell and credit income for the same amount. d. None of these, only a memorandum entry shall be made