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On December 31, 2024, Marigold Inc. borrowed $1,500,000 at 13% payable annually to finance the construction of a new building. In 2025, the company made
On December 31, 2024, Marigold Inc. borrowed $1,500,000 at 13% payable annually to finance the construction of a new building. In 2025, the company made the following expenditures related to this building: June 1, $600,000; July 1, $900,000; September 1, $1,800,000; December 1, $900,000. The building was completed in April 2026. Additional information is provided as follows: 1. Other debt outstanding 10-year, 11% bond, dated December 31, 2018, interest payable annually $15,000,000 15-year, 13% note, dated December 31, 2012, interest payable annually $3,750,000 2. Interest revenue earned in 2025 $9,000 (a) Your answer is incorrect. Determine the amount of interest to be capitalized in 2025 in relation to the construction of the building. (Round answer to O decimal places, eg. 5,125.) The amount of interest $
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