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Current Attempt in Progress Nash Company is constructing a building. Construction began on February 1 and was completed on December 31. Expenditures were $1,812,000

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Current Attempt in Progress Nash Company is constructing a building. Construction began on February 1 and was completed on December 31. Expenditures were $1,812,000 on March 1, $1,212,000 on June 1, and $3,014,000 on December 31. Nash Company borrowed $1,071,000 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 10%, 5-year, $2,031,000 note payable and an 11%, 4-year, $3,170,000 note payable. Compute avoidable interest for Nash Company. Use the weighted-average interest rate for interest capitalization purposes. (Round weighted- average interest rate to 4 decimal places, e.g. 0.2152 and final answer to O decimal places, e.g. 5,275.) Avoidable interest

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Step 1 Determine the Total Expenditures Expenditure on March 1 1812000 Expenditure on June 1 1212000 Expenditure on December 31 3014000 Step 2 Compute ... blur-text-image

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