On January 1, 2025, Novak, Inc. signed a fixed-price contract to have Builder Associates construct a major plant facility at a cost of $4,338,000. It was estimated that it would take 3 years to complete the project. Also on January 1,2025, to finance the construction cost, Novak borrowed $4,338,000 payable in 10 annual instaliments of $433,800, plus interest at the rate of 10%. During 2025, Novak made deposits and progress payments totaling $1,626,750 under the contract: the weighted-average amount of accumulated expenditures was $867,600 for the year. The excess borrowed funds were invested in short-term securities, from which Novak realized investment income of $261,400. What amount should Novak report as capitalized interest at December 31. 2025? Capitalized interest $