Vaughn Inc is ook distributor that had been operating n its orig na facility since 987. The ncrease in certification programs and continuing education requirements in se eral professions has since 2012. Vaughn'original facility became obsolete by early 2017 because of the increased sales volume and the fact that Vaughn now carries CDs in addition to books ont uted to an annual R wth rate of 5% fo hn On June 1,2017, Vaughn contracted with Black Construction to have a new building constructed for $4,400,000 on land owned by Vaughn. The payments made by Vaughn to Black Construction are shown in the schedule below. Amount 990,000 January 30, 2018 1,650,000 May 30,2018 1760,000 Total payments $4,400,000 Date July 30, 2017 Construction was completed and the building was ready for occupancy on May 27, 2018. Vaughn had no new borrowings directly associated with the new building but had the following debt outstanding at May 31, 2018, the end of its fiscal year 10%, 5-year note payable of $2,200,000, dated April 1, 2014, with interest payable annually on April 1. 12%, 10-year bond issue of $3,300,000 sold at par on June 30, 2010, with interest payable annually on June 30. The new building qualifies for interest capitalization. The effect of capitalizing the interest on the new building, compared with the effect of expensing the interest, is material. Compute the weighted-average accumulated expenditures on Vaughn's new building during the capitalization period. Weighted-Average Accumulated Expenditures eTextbook and Media Compute the avoidable interest on Vaughn's new building. Ro d in eme date percentage ca iation to 1 dec mal place eg. 15.6% andfinal answer to de ma pa eg 5.125 Avoidable Interest e Textbook and Media Some interest cost of Vaughn Inc. is capitalized for the year ended May 31 2018. Compute the amount of each items that must be disclosed in Vaughn's financial statements Total actual interest cost Total interest capitalized Total Interest expensed Monty Corporation owns equipment that cost $55,200 when purchased on April 1, 2013. Depreciation has been recorded at a rate of $9,200 per year, resulting in a balance in accumulated depreciation of $43,700 at December 31,2017. The equipment is sold on July 1, 2018, for $11,040. Prepare journal entries to (a) update depreciation for 2018 and (b) record the sale. (Credit account titles are autormatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit Vaughn Inc is ook distributor that had been operating n its orig na facility since 987. The ncrease in certification programs and continuing education requirements in se eral professions has since 2012. Vaughn'original facility became obsolete by early 2017 because of the increased sales volume and the fact that Vaughn now carries CDs in addition to books ont uted to an annual R wth rate of 5% fo hn On June 1,2017, Vaughn contracted with Black Construction to have a new building constructed for $4,400,000 on land owned by Vaughn. The payments made by Vaughn to Black Construction are shown in the schedule below. Amount 990,000 January 30, 2018 1,650,000 May 30,2018 1760,000 Total payments $4,400,000 Date July 30, 2017 Construction was completed and the building was ready for occupancy on May 27, 2018. Vaughn had no new borrowings directly associated with the new building but had the following debt outstanding at May 31, 2018, the end of its fiscal year 10%, 5-year note payable of $2,200,000, dated April 1, 2014, with interest payable annually on April 1. 12%, 10-year bond issue of $3,300,000 sold at par on June 30, 2010, with interest payable annually on June 30. The new building qualifies for interest capitalization. The effect of capitalizing the interest on the new building, compared with the effect of expensing the interest, is material. Compute the weighted-average accumulated expenditures on Vaughn's new building during the capitalization period. Weighted-Average Accumulated Expenditures eTextbook and Media Compute the avoidable interest on Vaughn's new building. Ro d in eme date percentage ca iation to 1 dec mal place eg. 15.6% andfinal answer to de ma pa eg 5.125 Avoidable Interest e Textbook and Media Some interest cost of Vaughn Inc. is capitalized for the year ended May 31 2018. Compute the amount of each items that must be disclosed in Vaughn's financial statements Total actual interest cost Total interest capitalized Total Interest expensed Monty Corporation owns equipment that cost $55,200 when purchased on April 1, 2013. Depreciation has been recorded at a rate of $9,200 per year, resulting in a balance in accumulated depreciation of $43,700 at December 31,2017. The equipment is sold on July 1, 2018, for $11,040. Prepare journal entries to (a) update depreciation for 2018 and (b) record the sale. (Credit account titles are autormatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit