Problem 7-10 (IAA) Solid Bank loaned P5,000,000 to a borrower on January 1, 2018 The terms of the loan require principal payments of P1,000,000 each year for 5 years plus interest at 8%. The first principal and interest payment is due on January 1, 2019. The borrower made the required payments during 2019 and 2020. However, during 2020 the borrower began to experience financial difficulties, requiring the bank to reassess the collectibility of the loan. On December 31, 2020, the bank has determined that the remaining principal payment will be collected as originally scheduled but the collection of the interest is unlikely. The bank did not accrue the interest on December 31, 2020. Present value of 1 at 8% For one period For two periods For three periods 0.926 0.857 0.794 2. Complete the amortization table for the new loan agreement. Assume that any rounding off difference will be settled in the year of maturity. Collections Carrying Amount Date Interest Earned Interest Principal Acc. Int. Inc Loan Rec. Total Rec. Dec. 31, 2020 Jan. 1, 2021 Dec. 31, 2021 Jan. 1, 2022 Dec. 31, 2022 Jan. 1, 2023 3. What is the impartment loss for 2020? (1 point) 4. What s the interest income for 2021? (1 point) 5. What is the carrying amount of the loan receivable on December 31, 2021?