BonitaFurniture Company started construction of a combination office and warehouse building for its own use at an estimated cost of $3,500,000 on January 1,2020 . Bonita expected to complete the building by December 31,2020 . Bonita has the following debt obligations outstanding during the construction period. Construction loan-12\% interest, payable semiannually, issued December 31,2019$1,400,000 Short-term loan-10\% interest, payable monthly, and principal payable at maturity on May 30, 20211,050,000 Long-term loan-11\% interest, payable on January 1 of each year. Principal payable on January 1,2024 700,000 (a) Assume that Bonita completed the office and warehouse building on December 31,2020 , as planned at a total cost of $3,640,000, and the weighted-average amount of accumulated expenditures was $2,520,000. Compute the avoidable interest on this project. (Use interest rates rounded to 2 decimal places, e.g. 7.58% for computational purposes and round final answers to 0 decimal places, e.g. 5,275.)