Thornton Industries began construction of a warehouse on July 1, 2018. The project was completed on March 31, 2019. No new loans were required to fund construction. Thornton does have the following two interest-bearing liabilities that were outstanding throughout the construction period:

$2,000,000, 7% note

$8,000,000, 3% bonds

Construction expenditures incurred were as follows:

July 1, 2018 $ 340,000

September 30, 2018 690,000

November 30, 2018 690,000

January 30, 2019 630,000

The companys fiscal year-end is December 31.

Required:

Calculate the amount of interest capitalized for 2018 and 2019.