show complete solutions. This is a multiple choice question.

1} On January 1, 2019, Shine Company purchased a 6-year bond with a face amount of P4,500,000 to yield 13%. Interest is to be paid everyr December 31 while the principal is to be repaid on maturity. The maturity date of the investment is on January 1, 2025. An active market is available so there is no problem to ascertain the fair value of the bonds. The stated rate of the bond is 9%. On December 31, 2019 the bond is trading at 12% for P4,013,355; on December 31, 2020 the bond is trading at 11.25% for P4,122, 140; on December 31, 2021 the bond is trading at 14% for P3321630; and on December 31, 2022 the bond is trading at 13.25% for P4,14E,390. Use four decimal places only. If the investment is accounted under F'v'TPL, what amount of unrealized gain or loss on fair value changes should be presented in the prot or loss on December 31, 2020? P108385 gain P1,185,42 loss P 232,962 gain P341352 gain uric-p: 2} On January 1, 2019, Shine Company purchased a 5year bond with a face amount of P4,500,000 to yield 13%. Interest is to be paid every December 31 while the principal is to be repaid on maturity. The maturity date of the investment is on January 1, 2025. An active market is available so there is no problem to ascertain the fair value of the bonds. The stated rate of the bond is 9%. On December 31, 2019 the bond is trading at 12% for P4,013,355; on December 31, 2020 the bond is trading at 11-25% for P4,122, 140; on December 31, 2021 the bond is trading at 14% for P3321530; and on December 31, 2022 the bond is trading at 13.25% for P4,14E,390. Use four decimal places only in computing for P'v' Factors. What is the purchase price of the investment? 3. P3, 280,338 b. P4, 500,000 c. P5301502 d. P5,012, 142