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I need help with C and D ShortProblemg2-Capitalization of interest. SHOW YOUR WORK! (10 points) On March 1, Psychedelic Furs Co. began construction of a

I need help with C and D image text in transcribed
ShortProblemg2-Capitalization of interest. SHOW YOUR WORK! (10 points) On March 1, Psychedelic Furs Co. began construction of a small building. The following expenditures were incurred for construction: March 1 April 1 May 1 225,000 540,000 300,000 June 1 July 1 S 222,000 810,000 The building was completed and borrowed on March 1 on a 12%, three-year note payable. The only other debt outstanding during the year was a $1,500,000, 10% note issued two years ago. occupied on July 1. To help pay for construction $150,000 was Instructions (a) Calculate the weighted-average accumulated expenditures. (b) Calculate avoidable interest. (c) Calculate actual interest. (d) Record the journal entry for interest capitalization on July 1 z 75,00 2135ooc toch nheay July 22000 2 is,oe C 273, Soo 128,500 .io : 12,esu Acea

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