On January 2, 2020, Maelet Co. purchased a franchise with a useful life of ten years for P600,000. An additional franchise fee of 5% of franchise operation revenues must be paid each year the franchisor. Revenues from franchise operations amounted to P3,000,000 during 2020. In its December 31, 2020, Statement of Financial Position, what amount should Maelet report as an intangible asset-franchise?

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