On 1st April, 2019, Black Limited received a government grant of 15,00,000 for acquisition of a Machine costing - 50,00,000. The grant was credited…

On 1st April, 2019, Black Limited received a government grant of 15,00,000 for acquisition of a Machine costing - 50,00,000. The grant was credited to the cost of the Machine. The life of the Machine is expected to be 10 years and estimated residual value at the end of 10 years is 5,00,000. The company charges depreciation on straight line basis. Due to non-fulfillment of certain conditions the company had to refund the entire grant on 1st April, 2021. On 31st March, 2023, Black Limited received certain indications of impairment of the Machine and the recoverable amount was ascertained to be - 28,00,000 with revised useful life of 4 years and nil residual value. On 1st April, 2024, the company exchanged the Machine by paying cash of 2,00,000 and new Machine valued at 18,00,000. Based on the information given in above Case Scenario, answer the following Question No. 1-4: