Required: Based on the result of your audit, determine the following: __________1. Realized income from government grant for the year ended December 31, 2015 __________2. Book value of deferred income from government grant as of December 31, 2015

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On January 1, 2015, SMDC Inc. was granted a non-interest bearing loan from Bangko Sentral ng Pilipinas with a face value of P1,000,000, term of 3 years and implicit rate of 10%. SMDC received the face value of the loan on the condition that the company will continuously operate for the 3-year term of the loan.


Required: Based on the result of your audit, determine the following:
__________1. Realized income from government grant for the year ended December 31, 2015
__________2. Book value of deferred income from government grant as of December 31, 2015

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