Excellence Ltd. is a Real Estate Company which constructs residential and commercial projects for selling. The Company has commenced a new project…

Excellence Ltd. is a Real Estate Company which constructs residential and commercial projects for selling. The Company has commenced a new project and the expenses incurred are as follows: The cost of land acquired for Project is 10croreCost of construction incurred is 25 crores.The Company also incurred cost of 10lacs for various administrative meetings in relation to planning of the building.The construction of building completed and at the end of the year 1, the net realisable value of the building was 40 crore.At the beginning of the next year (year 2), the Company decided to use the building as its corporate office.The Company further incurred 50lacs for making necessary changes in the structure for using it as corporate office in accordance with government norms for commercial spaces. Without these changes the office cannot be set up.Ignore the effect of depreciation, if any. In view of above information, answer the following issues: