Computing and Recording Interest Capitalization Weld Corporation is constructing a plant for its own use. Weld capitalizes interest on an annual basis. The following expenditures are made during the current year: January 1, $54,000; July 1, $522,000; September 1, $1,440,000; and December 31, $3,798,000. The following debts were outstanding throughout the current year. Debt Amount Construction note, 12% $180,000 Short-term note payable, 15% 720,000 Accounts payable (noninterest-bearing) 720,000 Answer the following questions, rounding your answers to the nearest whole dollar. a. Compute the amount of interest to be capitalized in 2020. $ 67,725 X b. Calculate the amount of interest to expense in 2020. $ 61,875 X Cr. c. Prepare the 2020 summary journal entry to record the construction expenditures and interest, assuming that construction is not complete on December 21, 2020. Note: Record debit accounts in alphabetical order using the first letter of the account name. Account Name Dr. Building 5,881,725 x 0 Interest Expense 61,875 x 0 Cash and Payables 5,943,600 X 0