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help me please thank you 50) The Bridge Company is experiencing financial difficulties and a downward trend in its operations. The firm is unable to
help me please thank you
50) The Bridge Company is experiencing financial difficulties and a downward trend in its operations. The firm is unable to service its debt and as a result, has missed payment of an annual interest on its loan from Bank of Manila. The principal amount of the loan is P2,000,000 (which is already due) with annual interest of 12% payable annually. The Bridge management has negotiated a modification of its debt terms with its creditors. The creditors agree to the following new terms: Forgive all accrued interest Reduce the principal amount of the loan to P1,800,000. Extend the payment of principal for two years. Reduce the interest rate for the remaining two years to 8%. What is the gain on debt restructuring? (PVF 3 Decimal) A. 562,040 B. 440.000 C. 322,040 D.0 Step by Step Solution
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