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On December 31, 2019, Company A borrowed $900,000 at 13% payable annually (5-year note) to finance the construction of a new building. The company made
On December 31, 2019, Company A borrowed $900,000 at 13% payable annually (5-year note) to finance the construction of a new building. The company made the following expenditures related to this building: March 1, 2020, $403,200; December 1, 2020, $1,680,000; February 1, 2021, $672,000, June 1, 2021, $1,680,000. The building was completed on June 30, 2021. Other than the construction loan, the company had outstanding a 10%, 10-year, $10,150,000 note payable dated in 2018. Determine the total cost of the building: $ (Round "Weighted-average interest rate" to 4 decimal places, e.g. 0.1785 and final answer to O decimal places, e.g. 3369; do not include dollar sign and comma in your final answer.)
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