During 2007, Ziba Corporation constructed assets costing $1,000,000. The weighted-average accumulated expenditures on these assets during 2007 was $600,000. To help pay for construction, $440,000 was borrowed at 10% on January 1, 2007, and funds not needed for construction were temporarily invested in short-term securities, yielding $9,000 in interest revenue. Other than the construction funds borrowed, the only other debt outstanding during the year was a $500,000, 10-year, 9% note payable dated January 1, 2001. What is the amount of interest that should be capitalized by Ziba during 2007?

The anwer is $58,400. I don't know how to do this.

Gerber Company is constructing a building. Construction began in 2008 and the building was completed 12/31/08. Gerbermade payments to the construction company of $1,000,000 on 7/1, $2,100,000 on 9/1, and $2,000,000 on 12/31. Average accumulated expenditures were

The anwer is $1,200,000. I don't know how to get this.

Please help me.

Thanks!