Question
On March 1, 2025, Swifty Corporation purchased land for an office site by paying $2748000 cash. Swifty began construction on the office building on March
On March 1, 2025, Swifty Corporation purchased land for an office site by paying $2748000 cash. Swifty began construction on the office building on March 1. The following expenditures were incurred for construction:
Date
Expenditures
March 1, 2025
$1776000
April 1, 2025
2508000
May 1, 2025
3660000
June 1, 2025
4164000
The office was completed and ready for occupancy on July 1. To help pay for construction, and purchase of land $3590000 was borrowed on March 1, 2025 on a 8%, 3-year note payable. Other than the construction note, the only debt outstanding during 2025 was a $1520000, 11%, 6-year note payable dated January 1, 2025.
The weighted-average accumulated expenditures on the construction project during 2025 were ?
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Intermediate Accounting
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
18th Edition
1119790972, 9781119790976
