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How to do this question Hawkins Corporation began construction of a motel on March 31, 2018. The project was completed on April 30, 2019. No
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Hawkins Corporation began construction of a motel on March 31, 2018. The project was completed on April 30, 2019. No new loans were required to fund construction. Hawkins does have the following two interest-bearing liabilities that were outstanding throughout the construction period $5,400,000, 6% note $11,960,000, 10% bonds Construction expenditures incurred were as follows March 31, 2018 June 30, 2018 November 30, 2018 February 28, 2019 $3,640,000 5,640,000 1,728,000 2,640,000 The company's fiscal year-end is December 31. Required: Calculate the amount of interest capitalized for 2018 and 2019. (Round weighted average interest rate to 2 decimal places and final answers to the nearest whole dollar.) 2018 2019 Amount of interest $359,803$ 359,803Step by Step Solution
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