Required: Calculate the amount of interest capitalized for 2024. E 10-24 Interest capitalization L010-7 On January 1, 2024, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2025. The company borrowed $1,500,000 at 8% on January 1 to help finance the construction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2024: $5,000,000, 12% bonds $3,000,000, 8% long-term note Construction expenditures incurred during 2024 were as follows: January 1 March 31 June 30 September 30 December 31 $ 600,000 1,200,000 800,000 600,000 400,000 Required: Calculate the amount of interest capitalized for 2024 using the specific interest method. Page 554

Required: Calculate the amount of interest capitalized for 2024. E 10-24 Interest capitalization LO10-7 On January 1, 2024, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2025. The company borrowed $1,500,000 at 8% on January 1 to help finance the construction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2024: $5,000,000, 12% bonds $3,000,000, 8% long-term note Construction expenditures incurred during 2024 were as follows: Required: January 1 March 31 $ 600,000 1,200,000 June 30 800,000. September 30 600,000 December 31 400,000 Page 554 Calculate the amount of interest capitalized for 2024 using the specific interest method,