On January 1, Evergreen Colorados water utility plant issued $5,000,000 of 6%, 10-year tax-exempt bonds to finance the construction of a new lift station. Only some of these funds were used in initial construction and Evergreen earned $78,000 on the remaining loan balance. Construction began on the lift station on October 1. What amount of interest can be capitalized on Evergreens balance sheet this year? Assume costs of construction are completed evenly.