Audit of receivab Mc Case 3 Sapporo Incorporated, a trading company is under your audit for the year 2021, data related to its notes receivable during the period werk summarized below: a. March 1, 2021, sold goods and received a P250,000 two-year, non. interest-bearing note. Interest effective on this date was at 12% b. September 30, 2021, sold goods and received a P200,000, 10-month 5% interest bearing note from a customer. C. January 1, 2021, sold goods with a total price of P330,000. Receiving P30,000 cash and a P300,000, three-year, 10%, interest bearing note to be collected in three equal payments to principal every December 31 starting 2021 which includes interest based on outstanding balance. The market rate of interest for this level of risk was 14 percent. Determine the following as a result of your audit: 1. How much is the interest income in 2021? a. P59,216 b. P58,217 c. P61,716 d. P62,552 2. How much is the accrued interest receivable as of December 31? a. P2,500 b. P32,500 c. P42,617 d. P53,333 2021? 3. How much is the total non-current portion of the note receivable as of a. P198,652 b. P293,413 c. P302,673 d. P315,720 of 2021? 4. How much is reported as total current portion of the note receivable as a. P198,652 b. P293,413 c. P302,673 d. P315,720 Mc Case 4

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