Exercise 10-7 Crane Furniture Company started construction of a combination ofice and warehouse building for its own use at an estimated cost of $5,024,000 on January 1, 2017,Crane expected to complete the building by December 31, 2017. Crane has the following debt obligations outstanding during the construction periad. Construction loan-12% interest, payable semiannually, issued December 31, 2016 Short-term loan-10% interest, payable monthly, and principal payable at maturity on May 30, 2018 Long-term loan-11% interest, payable on January 1 of each year. Principal payable on January 1, 2021 990,300 1,990,600 Assume that Crane complated the office and warchouse building on December 31, 2017, as planned at a total cost of $5,167,700,and the weighted-average amount of accumulated axpenditures was $3,777,200. Compute the avoidable interest on this project. (Use interest rates rounded to 2 decimal places, eg. 7.58% for computational purposes and round final answers to decimal places, e-9. S,275.) Avoidable Interest Compute the depreciation expense for he year ended December 31, 2018. Crane elected to depre ate the building on straight-line bess and determined that the asset 5,275.) asa useful life o 30 years and a salvage value of $302,800 (Round answer to O dec mal places, eg Click if you would like to Show Work for this question: asn Shem Wer