On January 1, 2021, Dreamworld Co. began construction of a new warehouse. The building was finished and ready for use on September 30, 2022. Expenditures on the project were as follows:

January 1, 2021 $ 334,000

September 1, 2021 $ 498,000

December 31, 2021 $ 498,000

March 31, 2022 $ 498,000

September 30, 2022 $ 334,000

Dreamworld had $6,600,000 in 12% bonds outstanding through both years. The average accumulated expenditures for 2022 by the end of the construction period was:

Multiple Choice

$1,080,500.

$2,162,000.

$1,390,000.

$1,722,000.