SELF CONSTRUCTED ASSET In 2021, Potomac Submersibles agreed to build a small submarine for Ea underwater salvage operations. The fixed contract price was $12,000,000 4/30/22 and delivered the finished vessel to Eastern on 6/1/23. Over the contract period, Eastern made progress payments to Potomac 4/30/22 10/1/22 2/1/23 6/1/23 $3,000,000 2,000,000 5,000,000 2,000,000 At the beginning of 2022, Eastern had the following interest-bearing lia 8% note payable, due 12/31/25 9% note payable, due 12/31/22 $2,000,000 8,000,000 Eastern repaid the 9% note on schedule, and did not undertake further bon accounting year ends on December 31. a. How should Eastern have reported the submarine on its 12/31/22 balas b. What amount should Eastern have reported as interest expense on its 2 What is the cost of the submarine for accounting purposes? d. What amount should Eastern have reported as interest expense on its 20