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Questions 15-16 are based on the following information. On January 1, 2019, the Roche Company began construction on a new manufacturing facility for its own
Questions 15-16 are based on the following information. On January 1, 2019, the Roche Company began construction on a new manufacturing facility for its own use. The building was completed in 2020. On January 1, 2019, the company obtained a $1,000,000 construction loan with an 7% interest rate. The loan was outstanding during the entire construction period. The company's other interest-bearing debt included two long-term notes of $2,000,000 and $2,000,000 with interest rates of 6% and 10%, respectively. Construction expenditures were as follows: January 1, 2019 $700,000 June 30, 2019 800,000 December 31, 2019 600,000 What is the amount of interest capitalized in 2019
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