Nash Furniture Company started construction of a combination office and warehouse building for its own use at an estimated cost of $3,000,000 on January 1, 2025. Nash expected to complete the building by December 31,2025 . Nash has the following debt obligations outstanding during the construction period. Construction loan-12\% interest, payable semiannually, issued December 31,2024 $1,200,000 Short-term loan-10\% interest, payable monthly, and principal payable at maturity on May 30, 2026900,000 Long-term loan-11\% interest, payable on January 1 of each year; principal payable on January 1,2029 600,000 (a) Assume that Nash completed the office and warehouse building on December 31, 2025, as planned, at a total cost of $3,120,000, and the weighted-average amount of accumulated expenditures was $2,160,000. Compute the avoidable interest on this project. (Use interest rates rounded to 2 decimal places, e.g. 7.58\% for computational purposes and round final answers to 0 decimal places, e.g. 5,275. Avoidable interest $ eTextbook and Media Attempts: 1 of 3 used (b) Compute the depreciation expense for the year ended December 31, 2026. Nash elected to depreciate the building on a straightline basis and determined that the asset has a useful life of 30 years and a salvage value of $180,000. (Round answer to 0 decimal places, e.g. 5,275.)