On December 31, 2019, Janice Company sold used equipment with carrying amount of P 2,000,000 in exchange for a noninterest-bearing note of P 5,000,000 requiring ten annual payments of P 500,000. The first payment was made on December 31, 2020. The market interest for similar note was 12%. The present value of an ordinary annuity of 1 is 5.65 for ten periods and 5.33 for nine periods.

What amount should be recognized as interest income for 2020?