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please calculate the amount of borrowing cost to be capitalizaed On December 31, 2021, Oriole Group borrowed HK$3,240,000 at 12% payable annually to finance the
please calculate the amount of borrowing cost to be capitalizaed
On December 31, 2021, Oriole Group borrowed HK$3,240,000 at 12% payable annually to finance the construction of a new building In 2022, the company made the following expenditures related to this building: March 1, HK$388,800; June 1, HK$648,000, July 1, HK$1,620,000; December 1, HK$1,296,000. Additional information is provided as follows. 1. HK$4,320,000 Other debt outstanding 10-year, 11% bond, December 31, 2015, interest payable annually 6-year, 6% note, dated December 31, 2019, Interest payable annually March 1, 2022, expenditure included land costs of HK$162,000 Interest revenue earned in 2022 on funds related to specific borrowing HK$1.728,000 2. 3. HK$52.920 (a) Your answer is incorrect. Determine the amount of borrowing cost to be capitalized in 2022 in relation to the construction of the building. (Round answer to O dedmal places, eg. 5,275.) The amount of borrowing cost HK$ Step by Step Solution
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