On January 1, 2021, Minorka Company issued a 5-year, P3,000,000, 17% bonds. The effective interest rate after considering the bond issue cost is 16%. The bond issue cost paid by the issuer is P70,000...

On January 1, 2021, Minorka Company issued a 5-year, P3,000,000, 17% bonds. The effective interest rate after considering the bond issue cost is 16%. The bond issue cost paid by the issuer is P70,000 The bond pays interest annually every December 31. The entity uses 2 decimal places for the PV factor. Under the effective interest method, how much is the issue price of the bonds payable on January 1, 2021?