ACT Company acquired an investment property with an installment price of P2,400,000. The acquisition of the property requires a down payment of 20% and a non-interest bearing note payable at the end of each year for five years. The prevailing market rate of interest for similar instrument is 12%. ACT Company transaction costs amounting to P50,000 on the property. What is the cost of acquiring the property? Use 3-decimal interest factor.

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A: a.

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