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What is the interest income that shall be reported

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Q1. On January 1, 2020, Company A received a 18% bearing note payable in five equal instalments every December 31 starting December 31, 2020; P 5,0000,000. The market interest rate for this type of transaction is 10%. What is the carrying value of the note on December 31, 2022?

Q2. On January 1, 2020, Company A received a 18% bearing note payable in five equal instalments every December 31 starting December 31, 2020; P 5,0000,000. The market interest rate for this type of transaction is 10%. What is the interest income that shall be reported for the year ended December 31, 2024?

Reference no: EM133017147

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