Randy started to construct a new building in January 1, 2020 and the it was fully completed on December 31, 2020. During this period the company has paid for contractors following payment:

Date of Payment

Payment in $

January 1, 2020

250,000

March 1, 2020

250,000

August 1, 2020

400,000

October 1, 2020

600,000

December 31, 2020

500,000

The debt balances in 2020 shows following:

Special Debt for construction has been signed on January 1 , 2020 at interest rate of 12% by $500,000

General Debt (N/P $300,000 10%-10 years dated on January 1, 2018)

General Debt (N/P $200,000 7.5%- 5 years dated on January 1, 2019)

Required: Compute the Cost of Building that should be shown in statement of financial position on Dec.31, 2020