SweetCompany is constructing a building. Construction began on February 1 and was completed on December 31. Expenditures were $5,220,000on March 1, $3,480,000on June 1, and $8,700,000on December 31.

SweetCompany borrowed $2,900,000on March 1 on a5-year,10% note to help finance construction of the building. In addition, the company had outstanding all year a12%,5-year, $5,800,000note payable and an11%,4-year, $10,150,000note payable. Compute avoidable interest forSweetCompany. Use the weighted-average interest rate for interest capitalization purposes.(Round "Weighted-average interest rate" to 4 decimal places, e.g. 0.2152 and final answer to 0 decimal places, e.g. 5,275.)

Avoidable interest $

X Your answer is incorrect. Sweet Company is constructing a building. Construction began on February 1 and was completed on December 31. Expenditures were $5,220,000 on March 1, $3,480,000 on June 1, and $8,700,000 on December 31. Sweet Company borrowed $2,900,000 on March 1 on a 5-year, 10% note to help finance construction of the building. In addition, the company had outstanding all year a 12%, 5-year, $5,800,000 note payable and an 11%, 4-year, $10,150,000 note payable. Compute avoidable interest for Sweet Company. Use the weighted-average interest rate for interest capitalization purposes. (Round "Weighted-average interest rate" to 4 decimal places, e.g. 0.2152 and final answer to O decimal places, e.g. 5,275.) Avoidable interest $ 2610000