Headland Company is constructing a building. Construction began on February 1 and was completed on December 31. Expenditures were $900.000 on March 1, $600,000 on June 1, and $1,500,000 on December 31. Headland Company borrowed $500,000 on March 1 on a 5-year, 12% note to help finance construction of the building. In addition, the company had outstanding all year a 12%, 5-year, $1,000,000 note payable and an 11%, 4-year, $1,750,000 note payable. Compute avoidable interest for Headland Company. Use the weighted average interest rate for interest capitalization purposes. (Round "Weighted average interest rate" to 4 decimal places, e.g. 2.5125 and final answer to decimal places, e.g. 5,275.)