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19.JKL Company issued a 2-year, 10% interest-bearing, P100,000 face value note payable on January 01, Year 1. JKL elected fair value option in measuring the
19.JKL Company issued a 2-year, 10% interest-bearing, P100,000 face value note payable on January 01, Year 1. JKL elected fair value option in measuring the note payable Transaction cost paid by JKL to issue the note is P1 ,000. On December 31, Year 1, the fair value of the note is P92,000. The P5,000 decline in fair value is associated with credit risk. How much is the loss from change in fair value to be recognized in profit and loss? A. 8,000 C. 3,000 B. 5,000 D. 2,000
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