Exercise 10-24 (Static) Interest capitalization [LO10-7] On January 1, 2024, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2025. The company borrowed $1,500,000 at 8% on January 1 to help finance the construction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2024: $5,000,000, 12% bonds $3,000,000, 8% long-term note Construction expenditures incurred during 2024 were as follows: January 1 March 31 June 30 September 30 December 31 $ 600,000 1,200,000 800,000 600,000 400,000 ces Required: Calculate the amount of interest capitalized for 2024 using the specific interest method. Note: Do not round the intermediate calculations. Round your percentage answers to 1 decimal place (i.e. 0.123 should be entered as 12.3%). Date January 1 March 31 June 30 September 30 December 31 Accumulated expenditure Expenditure Average accumulated expenditures Amount x X X X Weight Average Interest Rate X % = % = X Capitalized Interest