Compounded interest 5. On January 1, 20x1, ABC Co. extended a P 1,200,000 loan to one of its officers as part of ABC Co.'s car and housing assistance program. The note received is due on January 1, 20x4 and bears 10% interest compounded annually. How much interest receivable is recognized on December 31, 20x2 statement of financial position? a. 132,000 b. 120,000 c. 168,000 d. 252,000