Kit Company borrows $5 million at 12% on January 1, 2016, specifically for the purpose off nancing the construction of a building that is expected to take 18 months to complete. Kit invests the total amount at 11% until it makes payments or the construction project. During the first year of construction, it curs the follo expenditures related to hi , construction project January 1$1,000,000 April 1 October 11,200,000 December 31 500,000 Required: 1. Compute the amount of interest expense Kit would capitalize related to the construction of the building. 1,600,000 2. Compute the amount of interest revenue Kit would recognize. 3. Assume that Kit uses IFRS. What amount of interest would be capitalized related to the construction of the building