On July 1, 2017 Graco Company acquiredan investment property for P8.7 million having an estimated useful life of 40 years and residual value of P600,000. The company accounts this asset under the cost model and uses straight line method in depreciating its depreciable assets.

The following are the related fair values regarding the investment property:

2017: P8,775,0002019: P9,000,000

2018: P8,970,0002020: P8,770,00

This problem has 2 questions:

- Amount reported in profit or loss for the year ended December 31, 2020

- Carrying value of the investment property as of December 31, 2020