On January 1, 2017, Angelic Company acquired as a long term investment for P7,000,000 a 40% interest in an investee when the fair value of the net assets was P17,500,000. The investee reported the following net losses: 2017 2018 2019 2020 5,000,000 7,000,000 8,000,000 4,000,000 On January 1, 2019, Angelic Company made cash advances of P2,000,000 to the investee. On December 31, 2020, it is not expected that Angelic Company will provide further financial support for the investee.

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