On January 1, 2024, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2025. The company borrowed $1,500,000 at 10% on January 1 to help finance the construction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2024: $8,000,000, 15% bonds $2,000,000, 10% long-term note Construction expenditures incurred during 2024 were as follows: January 1 March 31 June 30 September 30 December 31 Required: $ 660,000 1,260,000 872,000 660,000 460,000 Calculate the amount of Interest capitalized for 2024 using the specific Interest method. Note: Do not round the Intermediate calculations. Round your percentage answers to 1 decimal place (l.e. 0.123 should be entered as 12.3%). Answer is not complete. Date Expenditure Weight Average January 1 $ 660,000 x 12/12 S 660,000 March 31 June 30 September 30 1,260,000 x 9/12 |= 945,000 872,000 x 6/12 = 436,000 660,000 x 3/12 = 165,000 480.000 B December 31 Required: 460,000 Calculate the amount of Interest capitalized for 2024 using the specific Interest method. Note: Do not round the intermediate calculations. Round your percentage answers to 1 decimal place (l.e. 0.123 should be entered as 12.3%). Answer is not complete. Date Expenditure Weight Average January 1 $ 660,000 x 12/12 |= S 660,000 March 31 1,260,000 x 9/12 = 945,000 June 30 September 30 December 31 Accumulated expenditure 872,000 x 6/12 = 436,000 660,000 x 3/12 = 165,000 460,000 x 0/12 = 0 $ 3,912,000 Amount Interest Rate $ 2,206,000 Capitalized Interest Average accumulated expenditures Other loans (not construction) Construction loan $ 2,206,000 x $ 1,500,000 % |= $ 0 10.0 % = 150,000 $ 150,000