MCP 15-4 - Computation of carrying amount with loss allowance On Jan. 1, 2021, Entity D purchased a debt instrument at its face value of P1,000,000. The contractual term is ten years with an annual coupon of 6%. On Dec. 31,2021 , the fair value of the instrument decreases to P955,000. 12-month expected credit losses as determined under the impairment model are P25,000. If the debt instrument is classified as FA at AC, how much is the carrying amount the debt investment on Dec. 31,2021? a. P930,000 b. P955,000 (c.) P975,000 d. P1,000,000