BPI loaned P9 million to a borrower on January 1, 2018. The terms of the loan were payment in full on January 1, 2023, plus annual interest payment at 12%. The debtor paid interest on January 1,2019 as scheduled. However, due to financial setbacks, the debtor was unable to pay interest on 2020. BPI accrued interest on Dec. 31, 2019 but did not continue to accrue interest for 2020 due to considered impairment of the loan. On December 31, 2020, BPI projected these cash flows: Dec. 31, 2021 Dec. 31, 2022 Dec. 31, 2023 Dec. 31, 2024 P 1,500,000 2,000,000 3,000,000 2,500,000 The present value of 1 at 12% is as follows: for one period for two periods 0.7972 0.8929 for three periods for four periods 0.7118 0.6355