Supriya Ltd. received a grant of Rs.2,500 lakhs during the accounting year 2015-16 from government for welfare activities to be carried on by the company for its employees The grant prescribed conditions for its utilisation. However, during the year 2016-17 found that the conditions of grants were not complied with and the grant ha refunded to the government in full. Elucidate the current accounting treatme reference to the provisions ofAS-12