Interest During Construction

Dexter Construction Corporation is building a student condominium complex; it started construction on January $1,$ Year $1.$ Dexter borrowed $$1$ million specifically for the project by issuing a $10\%,5-$year, $$1$ million note, which is payable on December $31$ of Year $3.$ Dexter also had a $12\%,5-$year, $$3$ million note payable and a $10\%,10-$year, $$1\mathrm{.}8$ million note payable outstanding all year.

In Year $1,$ Dexter incurred costs as follows:

$\backslash$table$[[$January $1,$$$300,000$