On January 1 2016 the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30. 2017 Expenditures on the project were as follows On January 1 2016 the company obtained a $4 600 000 construction loan with a 15% interest rate The loan was outstanding all of 2016 and 2017 The company s other interest-bearing debt included two long-term notes of $2,000 000 and $8.000.000 with interest rates of 8% and 12% respectively Both notes were outstanding during all of 2016 and 2017 Interest is paid annually on all debt The company's fiscal year-end is December 31 Required: Calculate the amount of interest that Mason should capitalize in 2016 and 2017 using the specific interest method What is the total cost of the building? Calculate the amount of interest expense that will appear in the 2016 and 2017 income statements