On January $1,2025,$ Sheridan, Inc. signed a fixed$-$price contract to have Builder Associates construct a major plant facility at a cost of $$4,215,000.$ It was estimated that it would take $3$ years to complete the project. Also on January $1,2025,$ to finance the construction cost, Sheridan borrowed $$4,215,000$ payable in $10$ annual installments of $$421,500,$ plus interest at the rate of $10\%.$During $2025,$ Sheridan made deposits and progress payments totaling $$1,580,625$ under the contract; the weighted$-$average amount of accumulated expenditures was $$843,000$ for the year. The excess borrowed funds were invested in short$-$term securities$,$ from which Sheridan realized investment income of $$256,400.$