On January 1, 2019, John Corporation purchased P1,000,000 10% bonds for P927,880 (including brokers commission of P20,000). John has the positive intention and ability to hold the bonds to maturity. The bonds were purchased to yield 12%. Interest is payable annually every December 31. The bonds mature on December 31, 2023. On December 31, 2019 the bonds were selling at 99. How much is the carrying amount the investment in bonds on December 31, 2019?

Gentle Company had the following borrowings during 2019. The borrowings were made for general purposes but the proceeds were used in part to finance the construction of a new building:

	Principal	Interest
12% bank loan	P10,000,000	1,200,000
15% long-term loan	20,000,000	3,000,000

The construction began on January 1, 2019 and was completed on December 31, 2019. Expenditures on the building were made as follows:

January 1 P8,000,000

June 30 8,000,000

December 31 4,000,000

If the building was completed during year-end, how much is the cost of the building?