Please answer based on IFRS 9, IAS 32, IFRS 7, IFRS 13 and the related IFRIC. Please specify which paragraph it refer to.

On January 1,2022 , Covington Corp. invested in bonds with a period of 10 years amounting to US\$ 1,000,000. Interest is paid annually. The bond's coupon rate and Effective Interest Rate (EIR) is 8%. Covington Corp. classifies the investment as a financial asset at amortized cost. At the end of the period, December 31, 2022, using the most relevant information, Covington Corp makes the following estimates:: 1) bonds have a 12-month probability of default (PD) of 0.6%; 2) Loss Given default (LGD)- which is the estimated amount of loss if the bond defaults- is 40%; and 3) 3) the probability of default (PD) over life is 20%. Covington Corp. uses an internal credit rating system of 1 to 10 , with 1 indicating the lowest credit risk and 10 indicating the highest credit risk. Covington Corp. considers the two rating upgrades to indicate a significant increase in credit risk. Covington Corp. has a policy that ratings of 3 and below are low credit risk. The credit rating of this bond payable as of December 31,2022 is 3 and at the beginning of the period January 1, 2022, the debt rating of this bond is 2 . Required: Compute and make entries for impairment of financial assets (if any). The initial balance of the allowance for impairment losses is Rp500 million On January 1,2022 , Covington Corp. invested in bonds with a period of 10 years amounting to US\$ 1,000,000. Interest is paid annually. The bond's coupon rate and Effective Interest Rate (EIR) is 8%. Covington Corp. classifies the investment as a financial asset at amortized cost. At the end of the period, December 31, 2022, using the most relevant information, Covington Corp makes the following estimates:: 1) bonds have a 12-month probability of default (PD) of 0.6%; 2) Loss Given default (LGD)- which is the estimated amount of loss if the bond defaults- is 40%; and 3) 3) the probability of default (PD) over life is 20%. Covington Corp. uses an internal credit rating system of 1 to 10 , with 1 indicating the lowest credit risk and 10 indicating the highest credit risk. Covington Corp. considers the two rating upgrades to indicate a significant increase in credit risk. Covington Corp. has a policy that ratings of 3 and below are low credit risk. The credit rating of this bond payable as of December 31,2022 is 3 and at the beginning of the period January 1, 2022, the debt rating of this bond is 2 . Required: Compute and make entries for impairment of financial assets (if any). The initial balance of the allowance for impairment losses is Rp500 million