Stella Bhd is a manufacturing company located in Perlis. On 1 March 2020, the company decided to purchase a building and a piece of land in Kuala Lerai to expand their business in the east coast of Malaysia. The building will be used as the company office and warehouse for distribution of company goods in that region. The company did not have any plan yet for the land they purchased. The following costs were incurred related to the purchased. RM Building price 12,500,000 Discount (building) 5% Brokerage fees (include in building 750,000 price) Legal fees (building) 200,000 Opening ceremony (building) 100,000 5 000,000 Land price Land clearing Building furniture 150,000 1,500,000 The estimated useful life of the building was 30 years, and recorded based on the cost model. The company decided to adopt straight line method to allocate the depreciable amount of their asset based on the ownership at the end of the year. Any assets owned by the company besides building will be depreciated at 10% per annum on yearly basis. The land owned by the company is recorded using the revaluation method. The company closes their account on 31 December annually. Required: a. Describe whether the building purchased by Stella Bhd can be classified as a property, plant and equipment in accordance with MFRS 116 Property, Plant and Equipment. (4 marks) b. Describe whether the land purchased by Radeon Bhd can be classified as a property, plant and equipment in accordance with MFRS 116 Property, Plant and Equipment. (3 marks) c. Calculate total initial cost for the asset classified as MFRS 116 Property, Plant and Equipment as at 1 March 2020. (3 marks) d. Calculate the carrying amount for the asset classified as MFRS 116 Property, Plant and Equipment as at 31 December 2020. (5 marks) e. The company have another building in Perlis. The building was purchased on 1 January 2014 for RM7,500,000 with estimated useful life of 20 years. On 1 July 2020, the company sell the building to another company for RM5,200,000. The depreciation of the building is calculated based on its useful life on monthly basis. Calculate any gain or loss from the sale of building in Perlis. Prepare the journal entries (show all workings). (5 marks) f. The company also bought a piece of land in Terengganu for RM1,600,000 on 1 October 2020. The company planned to construct their new factory on that land next year. On 31 December 2020, the fair value of the land was RM1,750,000. i. Describe whether the land can be classified as MFRS 116 Property, Plant and Equipment. (2 marks) ii. Explain the accounting treatment for the land as at 31 December 2020 including relevant journal entries