What amount of income from the government grant is recognized for the current year?
I Company received a government grant of P15,000,000 to install and run a windmill in an economically backward area. The entity has estimated that such a windmill would cost P25,000,000 to construct. The secondary condition attached to the grant is that the entity shall hire labor in the local market from the economically backward area where the windmill is located, instead of employing workers from other parts of the country. The entity shall maintain a ratio of 1:1 local worker to workers from outside in its labor force for the next 5 years. The construction was completed at the beginning of current year. The windmill is to be depreciated using the
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