Thornton Industries began construction of a warehouse on July 1, 2021. The project was completed on March 31, 2022. No new loans were required to fund construction. Thornton does have the following two interest-bearing liabilities that were outstanding throughout the construction period:

$4,000,000, 9% note $6,000,000, 6% bonds

Construction expenditures incurred were as follows: July 1, 2021 $ 430,000 September 30, 2021 630,000 November 30, 2021 630,000 January 30, 2022 570,000 The companys fiscal year-end is December 31. Required: Calculate the amount of interest capitalized for 2021 and 2022.

Complete this question by entering your answers in the tabs below.

• 2021
• 2022

Calculate the amount of interest capitalized for 2021. (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.

• 2022

• Calculate the amount of interest capitalized for 2022. (Do not round the intermediate calculations. Round your percentage answers to 1 decimal place (i.e. 0.123 should be entered as 12.3%).)

  Date	Expenditure		Weight					Average
  January 1, 2022	$6,591,000	x	3/3				=
  January 30, 2022		x	2/3				=
  	$6,591,000							$0
  	Amount		Interest Rate					Capitalized Interest
  Average accumulated expenditures	$0	x		%	x		=	$