Waterway Industries is constructing a building. Construction began on January 1 and was completed on December 31. Expenditures were $6490000 on March 1. $5350000 on June 1, and $8550000 on December 31. Waterway Industries borrowed $3250000 on January 1 on a 5-year, 12% note to help finance construction of the building. In addition, the company had outstanding all year a 10%, 3-year, $6360000 note payable and an 11%, 4-year, $12950000 note payable. What amount of interest should be charged to expense? $1497213 $1107213 $2060500 $7857213