On January 1, 2021, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2022. The company borrowed $1,850,000 at 10% on January 1 to help finance the construction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2021:

$4,000,000, 14% bonds

$1,000,000, 10% long-term note

Construction expenditures incurred during 2021 were as follows:

January 1	$	800,000
March 31		1,400,000
June 30		1,040,000
September 30		800,000
December 31		600,000

Required: Calculate the amount of interest capitalized for 2021 using the specific interest method.