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Problem - Offsetting of financial assets and financial liabilities - On December 31, 20x1, Twinkle Co. has accounts receivable from, and accounts payable to, Star, Inc. amounting to P200,000 and P180,000, respectively. Both accounts are due currently. Twinkle Co. has the legal right of offset. However, because the credit term for the accounts payable is one month longer than the accounts receivable, Twinkle Co. intends to collect first the accounts receivable and pay the accounts payable at the end of the credit term. How much accounts receivable shall be presented in Twinkle's December 31, 20x1 statement of financial position?
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