LOAN RECEIVABLE

TRADE and OTHER RECEIVABLES RECEIVABLES Refers to amounts owed by customers to company at a particular time and not yet paid Contractual rights to receive cash or other Financial Asset from anotiner entity. TRADE RECEIVABLES SOURCE Claims from anie of guide in somitees les the ordinary course of business. PFRS 15, paragraph 108 a receivable is an entity's right to sonsideration that is unconditional A right to sonsideration is unsavolitional if only the passage of time is required before sayment of that consideration is due. Accounts Receivable. by promissory note Rendalke ton is s Notes Reeceluable CURRENT TRADE RECEIVABLES One (2) Year or Newal operating Ouale Whichever is LONGER NON-CURRENT TRADE RECEIVABLES NON-TRADE RECEIVABLES When a customar mums the allier money water to grading a anlator seling potust, HALDES Trade modules for it to be considered sambit nan bat canime from some of goods or services in the ordinary sourse of business that are not expested to be realized in sesh within 22. mantas be year within 3 yete only. RECEIVABLES INITIAL MEASUREMENT: SUBSEQUENT MEASUREMENT: Invoice Price prica Transation pricel Net Realizable value ACCOUNTS RECEIVABLE Refers to the none a company's sustomer owe for geots on services they hitus received but not yet paid for. INITIAL MEASUREMENT: Dot-tera Interest Reinigl (Short by Ngaberest Bearisa) SUBSEQUENT MEASUREMENT: TYPES: Face valus Present value NOTES RECEIVABLE rs a witten promise promissory κατεί το πετείνε ο specific anmount of unsh from anseher party on one or more future dates Long-term interest Betrings Reasonable rate sunreasonable vase Now Interest Bearing Face value Face value Amortized cost Amortized Cost Amortized Cost Amortized Cost Amortized Cost Present value INITIAL MEASUREMENT: SUBSEQUENT MEASUREMENT: LOANS RECEIVABLE Resresent the amount of money that has been lont out by an entity ana in expected to be returned by the berrowes Face valve Add: Direct Origination Cost Less: origination Fee Amortized Cost LOAN RECEIVABLE LOANS RECEIVABLE: Initial Measurement Face Value of a este is ulse called certificate. Dose Ordinarins, Cost ave Face Value Add: Direct Origination Cost Loss: Origination Fee Initial carrying value Unearned Interest income Ovigliation Fees and fees charged by the king agauur the bovenwer for the creatine of anda. Duest Onguurtinwrigleti Fr Prémiom Dorest Grigination Cour Originatins Fr Discount unellined interest lincome (Pigalния си Фізоснат LOANS RECEIVABLE: Amortized Cost SAFS INTEKIELE COLLECTION AMORTIZATION TABLE OFTENENANDATU Lever the tens of the Lodu PRICAENIT URLUR Intia camying value oversat Value Present vive at the bout of each serind Present value Effective latest ste offers en Interest Collection ILLUSTRATION: LOANS RECEIVABLE PROBLEM: At the beginning of 2024, Joshua granted Jericho a 4-year loan amounting to Pip 2,500,000, with a nominal interest rate of 20% payable every December 1. The non-refundable origination fee is Php 220,000, and the divest origination fee is Php 150,000. Notice that the problem mily gave the Nominal satprest Rate walls the Effective terest Rate найрагт. Тие ниндие сина мелия ве esevalle is that it frequently involves traction see the you frecting latest should be interpolation. Computation of New Effective interest reate: STEP 1: Compute the initial carming value STEP 2: Gethe LOWERE RATE Let's try to get the lower rate by usin PRINCIPAL INTEREST 2,500,000 X 250,000 2 2,500500 Add Direct Crigination cest 150,000 Less: origination Fer mitial canying value 2,430,000 -300 2,520,925 Php 250 105 is the teplent salue of the Effhitise sats is 3% This awsunt is greater than the mutia camrying value of Pep 2,400,000 by 15025 STEP 3: Get the HIGHER RATE Interpolitics is a tal de pess Let's try to get the late 11 PRINCIPAL 2,500,000 54577 1,546,750 Pip 2,422,50 is the Present viles of the Effective INTEREST 250,000.0 アオ5,600 2,422,350 camyung vowe of Fim 2x0,000 by z STEP 4: Compute the Exarest Rate PRESENT VALUE 2,430,000 @1196 2,422,350 150.525 158.55 The TARD Topiefore the exact Effective Interest rate to wied 10.90% PROBLEM: At the beginning of 2004, Jeshua granted Jericho a 4-year loan amounting to Php 2.500.000, with a nominal interest rate of 10% payable every December. The non-refundable origination fee is Fimp 200.000, and direct issuance is Php 150,000. Computer initial Measurement of the Loans Receivable De Php 2,430,000 Computed Effective Interest Rate is: 10.90% compuration of subsequent Measurement of Loans receivable is as follows AMORTIZATION TABLE INTEREST INTEREST DATE AMORTIZATION PRESENT VALUE COLLECTION INCOME 01/01/2024 2,480,000 12/31/2024 250,000 244,870 2,444,290 12/31/2025 250,000 266,491 16.491 2,461,361 10/31/2006 250,000 261,288 12/31/200ア 250,000 290,292 20.092 2,500,000 CURRENT PORTION OF LOANS RECEIVABLE Nond desmuse the Snow is snilestiale by year after 2,479,649 NONCURRENT PORTION OF LOANS RECEIVABLE The satire PRE 2.500.000 Turgot young it will ne collected at the mood of