(a) Define the term "borrowing costs" and explain the accounting treatment of such costs which is required by international standard IAS23.(b) During the year to 31 December 2022, a company started work on the construction of a manufacturing plant and incurred expenditure as follows:

All of these payments were made out of general borrowings. Construction work was still underway at 31 December 2022. The company had the following general borrowings outstanding throughout the year 2022:

Calculate the amount of borrowing costs that should be capitalised in relation to the construction of the manufacturing plant during the year.

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1 April 2022 1 August 2022 1 December 2022 £000 1,500 2,400 1,800