Calculate avoidable interest for the purpose of interest capitalization.

Calculating Avoidable Interest Weighted average accumulated expenditures are $400,000 on a project for which work steadily progressed during the current year. The following debt was outstanding during the current year. Construction loan $100,000 at 10% Note payable $500,000 at 8% Mortgage payable $150,000 at 12% Calculate avoidable interest for the purpose of interest capitalization. Note: Round interest rate percentage used in your calculation to two digits after the decimal; enter 2.04 for 2.044% or 2.05 for 2.045%. Avoidable interest $ 8.92 X