Suppose we are having a factory and that factory has no proper road connection to that factory, so we approached to the government requesting them to build the road, the answer was negative and they said we can build a road by our own on their land but there is only one condition that the road will be accessible by public so it will be the public road. How to account for this?

In this condition, we have to capitalize it along with the project, we cannot separately classify it, the reason for this is any expenditure that is necessary to bring your asset to the location and condition necessary for the intended use by the management that we should capitalize , and it is directly attributable expenditure to the factory , and so we should capitalize it along with our factory.