On January $1,20$x$1,$ TWIST Co$.$ received a $40,000,000$ note receivable from KINK, Inc. Principal payments of $8,000,000$ and interest at $12\%$ are due annually at the end of each year for $5$ years. The first payment starts on December $31,20$x$1.$

KINK, Inc. made the required payments during $20$x$1$ and $20$x$2.$ However, during $20$x$3$ KINK, Inc. began to experience financial difficulties, requiring TWIST Co$.$ to reassess the collectibility of the note. Because of the loss event, interest accruing in $20$x$3$ was not recognized. On December $31,20$x$3,$ TWIST Co$.$ determined that the note has been impaired and projects future cash flows as follows:

Date of expected receipt Amount of cash flow

January $1,20$x$44,000,000$

January $1,20$x$58,000,000$

January $1,20$x$612,000,000$