Initial Recognition ₱ 6,455,000

Less: Interest Received ₱ 720,000

Interest Income ₱ 645,500 ₱ 74,500
CA 12/31/2019 ₱ 6,380,500
No Cash flow in 2020 ₱ -
CA 12/31/2020 ₱ 6,380,500
Less: Expected Future Cash Flow
(5,000,000*0.751315) ₱ 3,756,574
Imparaiment Loss ₱ 2,623,926
0.10 3 0.751315
Before gain on recovery
Interet Income
12/31/2020 ₱ 3,756,574
12/31/2021 ₱ 375,657 ₱ 4,132,231
12/31/2022 ₱ 413,223 ₱ 4,545,455
12/31/2023 ₱ 454,545 ₱ 5,000,000

PAS 39
Gain on impairment recovery

CA 12/31/2019 ₱ 6,380,500
Less: Amortized Cost ₱ 4,132,231
Gain on impairment recovery ₱ 2,248,269

PFRS 9
Principal ₱ 6,000,000
Unpaid Interest (6,000,000*.12*4) ₱ 2,880,000
Total ₱ 8,880,000
PVF of 1 0.826446
PV of Future Cash Flow ₱ 7,338,843
Less: Amortized Cost ₱ 4,132,231
Gain on impairment recovery ₱ 3,206,612

0.10 2 0.826446
Principal Amount 6,000,000
Originating Fee - 540,000
Directing Origination Cost 270,000
Initial Carrying Amount 5,730,000

13.000% 5,788,966 58,966

5,730,000 1%
14.000% 5,588,030 141,970
200,936
13.293%

Interest Interest Discount Present

Date Collection Income Amortization Value
1/1/2019 5,730,000
12/31/2019 720,000 761,715 41,715 5,771,715
12/31/2020 720,000 767,260 47,260 5,818,976
12/31/2021 720,000 773,543 53,543 5,872,519
12/31/2022 720,000 780,661 60,661 5,933,179
12/31/2023 720,000 788,725 68,725 6,001,904
r n pv f of 1 pv f of oa
0.01 5 0.9514657 4.853431 ₱ 6,000,000 ₱ 5,708,794.13 ₱ 3,494,470.49
0.02 5 0.9057308 4.71346 ₱ 6,000,000 ₱ 5,434,384.86 ₱ 3,393,690.85
0.03 5 0.8626088 4.579707 ₱ 6,000,000 ₱ 5,175,652.71 ₱ 3,297,389.17
0.04 5 0.8219271 4.451822 ₱ 6,000,000 ₱ 4,931,562.64 ₱ 3,205,312.08
0.05 5 0.7835262 4.329477 ₱ 6,000,000 ₱ 4,701,157.00 ₱ 3,117,223.20
0.06 5 0.7472582 4.212364 ₱ 6,000,000 ₱ 4,483,549.04 ₱ 3,032,901.93
0.07 5 0.7129862 4.100197 ₱ 6,000,000 ₱ 4,277,917.08 ₱ 2,952,142.15
0.08 5 0.6805832 3.99271 ₱ 6,000,000 ₱ 4,083,499.18 ₱ 2,874,751.23
0.09 5 0.6499314 3.889651 ₱ 6,000,000 ₱ 3,899,588.32 ₱ 2,800,548.91
0.1 5 0.6209213 3.790787 ₱ 6,000,000 ₱ 3,725,527.94 ₱ 2,729,366.47
0.11 5 0.5934513 3.695897 ₱ 6,000,000 ₱ 3,560,707.97 ₱ 2,661,045.85
0.12 5 0.5674269 3.604776 ₱ 6,000,000 ₱ 3,404,561.13 ₱ 2,595,438.87
0.13 5 0.5427599 3.517231 ₱ 6,000,000 ₱ 3,256,559.62 ₱ 2,532,406.51
0.14 5 0.5193687 3.433081 ₱ 6,000,000 ₱ 3,116,211.99 ₱ 2,471,818.30
0.15 5 0.4971767 3.352155 ₱ 6,000,000 ₱ 2,983,060.41 ₱ 2,413,551.67
0.16 5 0.476113 3.274294 ₱ 6,000,000 ₱ 2,856,678.09 ₱ 2,357,491.43
0.17 5 0.4561112 3.199346 ₱ 6,000,000 ₱ 2,736,666.91 ₱ 2,303,529.24
0.18 5 0.4371092 3.127171 ₱ 6,000,000 ₱ 2,622,655.30 ₱ 2,251,563.14
0.19 5 0.4190494 3.057635 ₱ 6,000,000 ₱ 2,514,296.23 ₱ 2,201,497.12
0.2 5 0.4018776 2.990612 ₱ 6,000,000 ₱ 2,411,265.43 ₱ 2,153,240.74

0.12 4 0.6355181 3.037349 ₱ 2,750,000 ₱ 1,747,674.72 ₱ 1,002,325.28

₱ 905,394.70
r n pv f of 1 pv f of oa
0.01 4 0.9609803 3.901966 ₱ 2,750,000 ₱ 2,642,695.95 ₱ 1,287,648.63
0.02 4 0.9238454 3.807729 ₱ 2,750,000 ₱ 2,540,574.92 ₱ 1,256,550.47
0.03 4 0.888487 3.717098 ₱ 2,750,000 ₱ 2,443,339.38 ₱ 1,226,642.47
0.04 4 0.8548042 3.629895 ₱ 2,750,000 ₱ 2,350,711.53 ₱ 1,197,865.42
0.05 4 0.8227025 3.545951 ₱ 2,750,000 ₱ 2,262,431.81 ₱ 1,170,163.67
0.06 4 0.7920937 3.465106 ₱ 2,750,000 ₱ 2,178,257.57 ₱ 1,143,484.85
0.07 4 0.7628952 3.387211 ₱ 2,750,000 ₱ 2,097,961.83 ₱ 1,117,779.71
0.08 4 0.7350299 3.312127 ₱ 2,750,000 ₱ 2,021,332.10 ₱ 1,093,001.86
0.09 4 0.7084252 3.23972 ₱ 2,750,000 ₱ 1,948,169.33 ₱ 1,069,107.56
0.1 4 0.6830135 3.169865 ₱ 2,750,000 ₱ 1,878,287.00 ₱ 1,046,055.60
0.11 4 0.658731 3.102446 ₱ 2,750,000 ₱ 1,811,510.18 ₱ 1,023,807.08
0.12 4 0.6355181 3.037349 ₱ 2,750,000 ₱ 1,747,674.72 ₱ 1,002,325.28
0.13 4 0.6133187 2.974471 ₱ 2,750,000 ₱ 1,686,626.50 ₱ 981,575.54
0.14 4 0.5920803 2.913712 ₱ 2,750,000 ₱ 1,628,220.76 ₱ 961,525.06
0.15 4 0.5717532 2.854978 ₱ 2,750,000 ₱ 1,572,321.43 ₱ 942,142.86
0.16 4 0.5522911 2.798181 ₱ 2,750,000 ₱ 1,518,800.52 ₱ 923,399.61
0.17 4 0.53365 2.743235 ₱ 2,750,000 ₱ 1,467,537.63 ₱ 905,267.55
0.18 4 0.5157889 2.690062 ₱ 2,750,000 ₱ 1,418,419.41 ₱ 887,720.40
 0.19 4 0.4986688 2.638586 ₱ 2,750,000 ₱ 1,371,339.07 ₱ 870,733.22
0.2 4 0.4822531 2.588735 ₱ 2,750,000 ₱ 1,326,195.99 ₱ 854,282.41

0.08 8 0.5403 5.7466 ₱ 100,000 ₱ 54,027 ₱ 28,733.19

0
0.0835 4 0.7256 3.2865 ₱ 200,000 ₱ 145,116 ₱ 40,752.43
0.5265 5.6711 ₱ 200,000 ₱ 105,300 ₱ 70,321.64

0.1 3 0.7513148 2.486852 ₱ 2,750,000 ₱ 2,066,115.70 ₱ 820,661.16

₱ 9,203,264.62
₱ 8,828,075.71
₱ 8,473,041.88
₱ 8,136,874.72
₱ 7,818,380.20
₱ 7,516,450.96
₱ 7,230,059.23
₱ 6,958,250.41
₱ 6,700,137.23
₱ 6,454,894.41
₱ 6,221,753.82
₱ 6,000,000.00
₱ 5,788,966.12
₱ 5,588,030.28
₱ 5,396,612.08
₱ 5,214,169.52
₱ 5,040,196.15
₱ 4,874,218.43
₱ 4,715,793.35
₱ 4,564,506.17

₱ 2,750,000.00 ₱ 2,088,177.68

₱ 3,930,344.58
₱ 3,797,125.39
₱ 3,669,981.85
₱ 3,548,576.95
₱ 3,432,595.47
₱ 3,321,742.43
₱ 3,215,741.55
₱ 3,114,333.95
₱ 3,017,276.89
₱ 2,924,342.60
₱ 2,835,317.26
₱ 2,750,000.00
₱ 2,668,202.04
₱ 2,589,745.82
₱ 2,514,464.29
₱ 2,442,200.13
₱ 2,372,805.19
₱ 2,306,139.80
₱ 2,242,072.29
₱ 2,180,478.40

₱ 82,760.08

₱ 185,868.11
₱ 175,621.64
₱ 10,246.47

₱ 2,886,776.86
Principal Amount 2,750,000
Originating Fee - 540,000
Directing Origination Cost 270,000
Initial Carrying Amount 2,480,000

13.000% 5,788,966 3,308,966

2,480,000 1%
14.000% 5,588,030 - 3,108,030
200,936
12.000%

Interest Interest Discount

Date Collection Income Amortization Present Value
1/1/2019 2,750,000
12/31/2019 330,000 330,000 - 2,750,000
12/31/2020 330,000 330,000 - 2,750,000
12/31/2021 330,000 330,000 - 2,750,000
12/31/2022 330,000 330,000 - 2,750,000

Net Selling Price

0.12 5 0.5674268557 3.6047762023
0.12 4 0.6355180784 3.0373493466 ₱ 2,750,000
0.12 3 0.7117802478 2.4018312682 ₱ 905,394.70
0.12 2 1.6900510204 ₱ 330,000
0.12 1 0.8928571429

Interest Interest Discount

Date Collection Income Amortization Present Value
1/1/2019 2,750,000
12/31/2019 905,395 330,000 575,395 2,174,605
12/31/2020 905,395 260,953 644,442 1,530,163
12/31/2021 905,395 183,620 721,775 808,388
12/31/2022 905,395 97,007 808,388 -
Net Selling Price ₱ 190,814
Less: Carrying Amount ₱ 180,000
Gain/Loss ₱ 10,814

Date Principal (A)

06/30/2019 ₱ 50,000
12/31/2019 ₱ 50,000
06/30/2020 ₱ 50,000
12/31/2020 ₱ 50,000

Notes Receivable ₱200,000

Interest
Accum. Dep. ₱320,000 Date Collection
Machinery ₱ 500,000 1/1/2019
Gain on Sale ₱ 10,814 06/30/2019 ₱ 12,400
Unearned Interest Income ₱ 9,186 12/31/2019 ₱ 9,300
06/30/2020 ₱ 6,200
12/31/2020 ₱ 3,100
 Interest Total Collection Present Value
Collection (B) (C=A+B) PV of 1 (D) (E=C*D)
₱ 12,400 ₱ 62,400 0.9229349331 ₱ 57,591
₱ 9,300 ₱ 59,300 0.8518088907 ₱ 50,512
₱ 6,200 ₱ 56,200 0.7861641816 ₱ 44,182
₱ 3,100 ₱ 53,100 0.7255783863 ₱ 38,528
₱ 190,814
₱ 180,000
₱ 10,814

Interest
Income
(PV*PVF of Present Value
OA semi- Principal (PVn=PVm+A
annually) Amortization Collection mort-PC)
₱ 190,814
₱ 15,933 ₱ 3,533 ₱ 50,000 ₱ 144,347
₱ 12,053 ₱ 2,753 ₱ 50,000 ₱ 97,100
₱ 8,108 ₱ 1,908 ₱ 50,000 ₱ 49,008
₱ 4,092 ₱ 992 ₱ 50,000 ₱ 0

₱ 27,986
₱ 12,200
1 d
2 c
3 d
4 b
5 b
6 b
7 b
8 b
9 b
10 b
11 c
12 c
13 c
14 c
15 b
16 a
17 b
18 c
19 a
20 c