On March 1, 2017, Sheffield Corp. purchased land for an office site by paying $2620000 cash. Sheffield began construction on the office building on March 1. The following expenditures were incurred for construction:

Date Expenditures March 1, 2017 $1750000 April 1, 2017 2560000 May 1, 2017 4600000 June 1, 2017 4720000

The office was completed and ready for occupancy on July 1. To help pay for construction, and purchase of land $3690000 was borrowed on March 1, 2017 on a 9%, 3-year note payable. Other than the construction note, the only debt outstanding during 2017 was a $1490000, 12%, 6-year note payable dated January 1, 2017.

The actual interest cost incurred during 2017 was