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Interest During Constructich - Capitalization period; January 1, 2019, to lune 30,2020 - Expenditures on progecti 2019 - Aribunts borrowed and outstanding: 11.5 milion borrened

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Interest During Constructich - Capitalization period; January 1, 2019, to lune 30,2020 - Expenditures on progecti 2019 - Aribunts borrowed and outstanding: 11.5 milion borrened at 194k, specifically for the nroject 56 milion borraped on July 1,2018 , at 12% 519 milion borroped on Jenuary 1,2017 , at 6\% Required: Note: Round all final numeric answers to two decimal places. 1. Compute the amount of interest costs capitaiced each year, Captalized interest, 2019 Capitalized interest, 2020 x 2. If at ic assumed that the preduction complex has an estimated life of 20 years and a residual value of so, compute the straight-line oeprecatish in zo20. 3. Fince GAAP requires accrual accounting, it a compeny capitalizes interest during the construction period it will report report Income than if it had not capitained interest

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