Coronado Industries is constructing a building. Construction began on January 1 and was completed on December 31. Expenditures were $6400000 on March 1, $5320000 on June 1, and $8950000 on December 31. Coronado Industries borrowed $3250000 on January 1 on a 5-year, 12% note to help finance construction of the building. In addition, the company had outstanding all year a 10%, 3-year, $6440000 note payable and an 11%, 4-year, $12850000 note payable.

What amount of interest should be charged to expense?

$1114083

$2053500

$1504083

$7944083