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On April 1, Jennifer Co. began construction of a small building. Payments of $254,160 were made monthly for four months beginning on April 1. The
On April 1, Jennifer Co. began construction of a small building. Payments of $254,160 were made monthly for four months beginning on April 1. The building was completed and ready for occupancy on August 1. For the purpose of determining the amount of interest cost to be capitalized, calculate the weighted-average accumulated expenditures on the building by completing the schedule below: Date: April 1 Expenditures 254160 4/12 Capitalization Period Weighted Ave. Accum. Expend. $ 254160 May 1 v 254160 3/12 June 1 July 1 v 254160 2/12 190620 127080 254160 1/12 254160 635400
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