Question
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 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 | $ | 313,000 | |
| September 1, 2021 | $ | 465,000 | |
| December 31, 2021 | $ | 465,000 | |
| March 31, 2022 | $ | 465,000 | |
| September 30, 2022 | $ | 313,000 | |
Dreamworld had $5,500,000 in 15% bonds outstanding through both years. Dreamworld's capitalized interest in 2021 was:
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Financial Accounting The Impact On Decision Makers An Alternative To Debits And Credits
Authors: Gary A. Porter, Curtis L. Norton
3rd Edition
0030335639, 978-0030335631
