A company constructs a building for its own use. Construction began on January and ended on December The expenditures for
construction were as follows: January $; March $; June $; October $ The company
arranged a loan on January for $ Assume the $ loan is not specifically tied to the construction of the building.
The company's other borrowings, outstanding for the whole year, consisted of a $ million loan and a $ million note with interest
rates of and respectively.
Assuming the company uses the weightedaverage method, calculate the amount of interest capitalized for the year.
Note: Enter your answers in whole dollars and not in millions. Do not round intermediate calculations. Round your percentage
answers to decimal places ie should be entered as
Answer is complete but not entirely correct.
