In connection with your examination of the financial statements of Nike Co. for the year ended 2022, the client presented to you the property, plant and equipment section of its statement of financial position as of December 31,2021 which consists of the following: The following transactions occurred during 2022: a. A tract of land was acquired for P4,000,000. Additionally, Nike Co. paid P240,000 commission to a real estate agent. Costs of P60,000 were incurred to clear the land. During the course of clearing the land, timber and gravel were recovered and sold for P20,000. b. A second tract of land with a building was acquired for P1,200,000. The closing statement indicated that the fair value of the land was P600,000 and the old building had a fair value of P400,000. Shortly after acquisition, the building was demolished at a cost of P120,000. A new building was constructed for P600,000 plus the following costs: The building was completed and occupied on September 1, 2022. c. A third tract of land was acquired for P2,400,000 and was put on the market for resale. d. A group of new machines were purchased under a royalty agreement which provides for payment of royalties based on units of production for the machines. The invoice price of the machines was P300,000, freight costs were P8,000, unloading charges were P6,000 and royalty payments for 2022 were P52,000. Required: Prepare an audit working paper for 2022 showing the adjusted balances (excluding depreciation) for (a) land, (b) buildings and (c) machinery and equipment