Thornton Industries began construction of a warehouse on July 1, 2024. The project was completed on March 31, 2025. No new loans were required to fund construction. Thornton does have the following two interest-bearing liabilities that were outstanding throughout the construction period:

$6,000,000, 9% note

$9,000,000, 4% bonds

Construction expenditures incurred were as follows:

July 1, 2024	$ 740,000
September 30, 2024	1,110,000
November 30, 2024	1,110,000
January 30, 2025	1,050,000

The companys fiscal year-end is December 31.

Required:

Calculate the amount of interest capitalized for 2024 and 2025.

Please show work! :)

Calculate the amount of interest capitalized for 2024. Note: Do not round the intermediate calculations. Round your percentage answers to 1 decimal place (i.e. 0.123 should be entered as 12.3% ). Complete this question by entering your answers in the tabs below. Calculate the amount of interest capitalized for 2025. Note: Do not round the intermediate calculations. Round your percentage answers to 1 decimal place (i.e. 0.123 should be entered as 12.3%)