Illustrative Problem An entily received a government grant under the following independent assumption: An entity recelved a grant of P30,000,000 from the British government in order to defray safety and environmental costs within the area where the enlily is located. The sately and environmental costs are expected to be incurred over four year, respectively. P2,000,000, P4,000,000, P8,000,000 and 18,000,000 2 An entily recelved a grant of P40.000.000 from the American government for the construction of laboratory and research facilly with an estimated cost of P50,000,000 and useful life of 20 years. An entity is granted a large tract of land in Cordillera by the Philippine government. The fair value of the land is P50,000,000 The grant requires that the entity shall construct a factory and employ only personnel residing in the Cordillera region. The cost of the foclory is P30,000,000 with uselul life of 25 years, An entily received a grant of P10,000,000 from the Australian government to compensate for massive losses incurred because of a recnt earthquake. Required : Prepare jounal entries for the first year to record each independent government grani