P600,000. As a result of a restructuring agreement on Januar note payable at P6,000,000 and accrued interest payable c On January 1, 2021, Everlast Comp 10% 1, 2021, the creditor agreed to the following concessions. a. Accrued interest of P600,000 is forgiven. b. The new principal is P4,000,000. C. The new interest rate is 6% payable every December 2. d. The new maturiy date of the note is December 31, 20 e. The entity paid P350,000 as an arrangement fee to creditor. The PV of 1 at 10% for 3 periods is 0.75 and the PV of - ordinary annuity of 1 at 10% for 3 periods is 2.49. 400

P600,000. As a result of a restructuring agreement on Januar note payable at P6,000,000 and accrued interest payable c On January 1, 2021, Everlast Comp 10% 1, 2021, the creditor agreed to the following concessions. a. Accrued interest of P600,000 is forgiven. b. The new principal is P4,000,000. C. The new interest rate is 6% payable every December 2. d. The new maturiy date of the note is December 31, 20 e. The entity paid P350,000 as an arrangement fee to creditor. The PV of 1 at 10% for 3 periods is 0.75 and the PV of - ordinary annuity of 1 at 10% for 3 periods is 2.49. 400

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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