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 decimal places (for example, enter 2.05 for 2.04555%). Avoidable interest $ 36,267 X