Testbank Brief Exercise 133 (Part Level Submission)

On March 1, Jennifer Co. began construction of a small building. The following expenditures were incurred for construction:

March 1		$310,500
April 1		269,000
May 1		720,000
June 1		1,101,000
July 1		391,000

The building was completed and occupied on July 1. To help pay for construction $210,500 was borrowed on March 1 on a 12%, three-year note payable. The only other debt outstanding during the year was a $2,000,000, 10% note issued two years ago.

(a)

Calculate the weighted-average accumulated expenditures. (Do not leave any answer field blank. Enter 0 for amounts.)

Date		Expenditures			Capitalization Period		Weighted-Average Accumulated Expenditure
March 1		$310,500			01/122/123/124/125/126/127/128/129/1210/1211/1212/12		$
April 1		269,000			01/122/123/124/125/126/127/128/129/1210/1211/1212/12
May 1		720,000			01/122/123/124/125/126/127/128/129/1210/1211/1212/12
June 1		1,101,000			01/122/123/124/125/126/127/128/129/1210/1211/1212/12
July 1		391,000			01/122/123/124/125/126/127/128/129/1210/1211/1212/12
							$