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On January 1, Yr1, Stevens C. began construction of a small building. The following expenditures were incurred for construction during Yr1 : To help pay
On January 1, Yr1, Stevens C. began construction of a small building. The following expenditures were incurred for construction during Yr1 : To help pay for construction, $100,000 was borrowed on January 1, YR1 on a 12%, three-year note payable. The weighted average interest rate on all the other debts is 11.2%. Stevens Co. ends its fiscal year on December 31 each year. Calculate Stevens' avoidable interest for YR1, assuming the building was completed and ready for use on July 31. YR1. Actual interest cost for YR1 is $152,000. 1) Round your answers to the nearest whole number. 2) For the 2 nd column (\% of current year), put the numerator in the first box and the denominator in the second box. 2) For the 2nd column (\% of current year), put the numerator in the
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