no 16

Question 16 1 pts On November 11, 2020, A Company entered into a noncancellable agreement to purchase 100 barrels of oil from B Company for P13,500 per barrel. The fair value of a barrel of oil is P14,560 as of January 4, 2021, the agreed date of payment. On this date, the company recorded the payment through an entry that includes a credit to Gain on Purchase Commitment of P75,000. What is the fair value per barrel when A Company closed their books in December 31, 2020