On January 1, 2016, Dreamworld Co. began construction of a new warehouse. The building was finished and ready for use on September 30, 2017. Expenditures on the project were as follows:

January 1, 2016	$300,000
September 1, 2016	$450,000
December 31, 2016	$450,000
March 31, 2017	$450,000
September 30, 2017	$300,000

Dreamworld had $5,000,000 in 12% bonds outstanding through both years. Dreamworld's capitalized interest in 2016 was:

		$72,000.
		$63,000.
		$54,000.
		$36,000.