32. On April 1, 20x1, ABC received a P1,500,000, 10%, 3-year note receivable in exchange for a vacant lot in the books at P850,000. Principal in 3 equal installments, plus interest are due annually starting April 1, 20x2. Current market rates as of April 1, 20x1, December 31, 20x1, and December 31, 20x2 are 10%, 12% and 13%, respectively. If ABC reports every December 31, determine the total income ABC shall report on 2021. The correct answer is: 762,500

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