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On January 1, 2021, the company obtained a $3 million loan with a 11% interest rate. The building was completed on September 30, 2022. Expenditures

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On January 1, 2021, the company obtained a $3 million loan with a 11% interest rate. The building was completed on September 30, 2022. Expenditures on the project were as follows: January 1, 2021 $1,200,000 March 1, 2021 660,000 June 30, 2021 520,000 October 1, 2021 620,000 January 31, 2022 360,000 April 30, 2022 675,000 August 31, 2022 1,000,000 On January 1, 2021, the company obtained a $3 million construction loan with a 11% interest rate. Assume the $3 million loan is not specifically tied to construction of the building. The loan was outstanding all of 2021 and 2022. The company's Pther interest-bearing debt included two long-term notes of $4,200,000 and $6,200,000 with interest rates of 6% and 8%, respectively. Both notes were outstanding during all of 2021 and 2022. Interest is paid annually on all debt. The company's fiscal year-end is December 31 Required: 1. Calculate the amount of interest that Mason should capitalize in 2021 and 2022 using the weighted-average method. 2. What is the total cost of the building? 3. Calculate the amount of interest expense that will appear in the 2021 and 2022 income statements. Tiber 31 Required: 1. Calculate the amount of interest that Mason should capitalize in 2021 and 2022 using the weighted-average method. 2. What is the total cost of the building? 3. Calculate the amount of interest expense that will appear in the 2021 and 2022 income statements. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Reg fand 3 Reg 2 Calculate the amount of Interest that Mason should capitalize in 2021 and 2022 using the weighted average method and interest expense that will appear in the 2021 and 2022 Income statements. ("Round "Weighted average rate of all debt" to 2 decimal places but do not round other intermediate calculations. Round your answers to the nearest whole dollar) Interest capitalized Interest expense $ $ 2021 238,150 839,850 $ $ 2022 304,309 773,691 Rolanda Reg 2 > Required: 1. Calculate the amount of interest that Mason should capitalize in 2021 and 2022 using the weighted average method. 2. What is the total cost of the building? 3. Calculate the amount of interest expense that will appear in the 2021 and 2022 income statements. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 1 and 3 Reg What is the total cost of the building? ("Round "Weighted average rate of all debt" to 2 decimal places but do not round other Intermediate calculations. Round your answer to the nearest whole dollar.) Total cost of building s 5,657,459

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