Problem 10: Use the following information for the next three questions: On January 1, 2021, DELAY Co. sold transportation equipment with a historical cost of P8,000.000 and accumulated depreciation of...

Extracted text: Problem 10: Use the following information for the next three questions: On January 1, 2021, DELAY Co. sold transportation equipment with a historical cost of P8,000.000 and accumulated depreciation of P2,800,000. In consideration for the sale, DELAY Co. received cash of P400,000 and a noninterest-bearing note receivable of P4,000,000 due in 4 equal annual installments. The first installment was made on January 1, 2021. The prevailing rate of interest for this type of note is 12%. 29. How much is the carying amount of the note on initial recognition? 30. How much is the interest income for 2021? 31. How much is the carrying amount of the note on January 1, 2022? Problem 11: Use the following information for the next three questions: On January 1, 2021, FORCEFUL Co. sold machinery with historical cost of P8,000,000 and accumulated depreciation of P4,400,000 in exchange for a 3-year, P4,800,000 noninterest-bearing note receivable due in equal semi-annual payments starting July 1, 2021. The prevailing rate of interest of this type of note is 10%. 32. How much is the carrying amount of the note on initial recognition? 33. How much is the interest income for 2021 34. How much is the carrying amount of the note on December 31, 2021?