On Jarwary 1, 2018, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The bulding was completed on September 30, 2019 Expenditures on the project were as follows: January 1, 2018 Harch 1, 2016 June 30, 20018 October 1, 2018 January 31, 2019 April 30, 2019 August 31, 2019 $1,820,000 1,440,000 1,640,000 1,440,000 396,ee0 729,000 1,82e, a00 On January 1, 2018, the company obtained a $4.400,000 construction loan with a 14% Interest rate. The loan was outstanding all of 2018 and 2019. The company's other interest-bearing debt included two long-term notes of $2.000,000 and $8,000.000 with interest rates of 10% and 12%, respectively. Both notes were outstanding during all of 2018 and 2019, Interest is paid annually on all debt. The company's fiscal year-end is December 31. Required: 1. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the specific interest method. 2. What is the total cost of the building? 3. Calculate the amount of interest expense that will appear in the 2018 and 2019 Income statements. Complete this question by entering your answers in the tabs below. Reg 2 Reg 1 and 3 What is the total cost of the building? (Enter your anewer in dollsrs.) Total cent of buldng ( Reg 1 and 3 On January 1, 2018, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30, 2019. Expenditures on the project were as follows: January 1, 2018 March 1. 2018 $1,820,000 1,440, e00 1,640,000 1,440,000 June 30, 2018 October 1, 2018 January 31, 2019 April 30, 2019 August 31, 2019 396,000 729,000 1, e26, e0e On January 1. 2018, the company obtained a $4,400,000 construction loan with a 14% interest rate. The loan was outstanding all of 2018 and 2019. The company's other interest-bearing debt included two long-term notes of $2.000,000 and $8,000,000 with Interest rates of 10% and 12%, respectively. Both notes were outstanding during all of 2018 and 2019. Interest is paid annually on all debt The company's fiscal year-end is December 31. Required: 1. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the specific interest method. 2 What is the total cost of the building? 3. Calculate the amount of interest expense that will appear in the 2018 and 2019 income statements. Complete this question by entering your answers in the tabs below. Reg 1 and 3 Reg 2 What is the total cost of the building? (Enter your answer in dollars.) Total cont ot bulding