On January 1, 2018, the Shagri Company began construction on a new manufacturing facility for its own use. The building was completed in 2019. The only interest-bearing debt the company had outstanding during 2018 was long-term bonds with a book value of $11,800,000 and an effective interest rate of 7%. Construction expenditures incurred during 2018 were as follows: January 1 $ 680,000 March 1 708,000 July 31 588,000 September 30 780,000 December 31 480,000 Required: Calculate the amount of interest capitalized for 2018.

On January 1, 2018, the Shagri Company began construction on a new manufacturing facility for its own use. The building was completed in 2019. The only interest-bearing debt the company had outstanding during 2018 was long-term bonds with a book value of $11,800,000 and an effective interest rate of 7%. Construction expenditures incurred during 2018 were as follows: January 1 March 1 July 31 September 30 December 31 $ 680,000 708,000 588,000 780,000 480,000 Required: Calculate the amount of interest capitalized for 2018. Expenditure Weight Average = X = Date January 1 March 1 July 31 September 30 December 31 Accumulated expenditure X = X $ 0 $ 0 Average Interest Rate Capitalized Interest $ Average accumulated expenditures $ 0 % = 0