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23 25 points On January 1, 2021, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building
23 25 points On January 1, 2021, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30, 2022. Expenditures on the project were as follows January 1, 2021 March 1, 20211 June 30, 20211 October 1, 2021 January 31, 2022 April 30, 2022 August 31, 2022 $1,820,000 1,440,000 1,640,000 1,440,000 306.000 729,000 1,020,000 On January 1, 2021, the company obtained a $4,400,000 construction loan with a 54% interest rate. The loan was outstanding at of 2021 and 2022. The company's other interest-bearing debt included two longtem notes of $2,000,000 and $8,000,000 with interest rates of 10% and 12%, respectively. Both notes were outstanding during all of 2021 and 2022. Interest is paid annually on all dott. The company's fecal year-end is December 31 (Do not round intermediate calculations.) Required: 1. Calculate the amount of interest that Mason should capitalize in 2021 and 2022 using the specific interest method. Also, calculate the amount of interest expense that will appear in the 2001 and 2022 income statements 2022 Interest Capitalized interest Expense 2. What is the total cost of the building? 12021
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