On Jan. 1, 20x1, Cloudy Day Co. acquires 132,000,000 face amount, 10% bonds for P1,903,927. The bonds are due on Jan. 1, 20x4 but pay annual interest every Dec. 31. The yield rate is 12%. Cloudy changes its business model for managing financial assets on Sept. 1, 20x2. Cloudy only reports annually every Dec. 31. The bonds are quoted at 101 on Sept. 1, 20x2, 103 on Dec. 31, 20x2 and 104 on Jan. 1, 20x3. 1. The bonds are reclassified from fair value through profit or loss to amortized cost. What is the amount of premium or discount to be amortized over the remaining life of the bonds subsequent to the reclassification date?