Which of the following statements is true regarding capitalization of interest? Interest cost capitalized in connection with the purchase of land to be used as a building site should be debited to the land account and not to the building account. The minimum amount of interest to be capitalized is determined by multiplying a weighted average interest rate by the amount of average accumulated expenditures on qualifying assets during the period. O The amount of interest cost capitalized during the period should not exceed the actual interest cost incurred. O When excess borrowed funds not immediately needed for construction are temporarily invested, any interest earned should be offset against interest cost incurred when determining the amount of interest cost to be capitalized, On January 1, 2020, Waterway Industries purchased land for an office site by paying $2660000 cash. Waterway began construction on the office building on January 1. The following expenditures were incurred for construction: Date Expenditures January 1, 2020 $ 1750000 April 1, 2020 2490000 May 1, 2020 4580000 June 1, 2020 4730000 The office was completed and ready for occupancy on July 1. To help pay for construction, and purchase of land $3660000 was borrowed on January 1, 2020 on a 9%. 3 year note payable. Other than the construction note, the only debt outstanding during 2020 was a $1590000, 12%, 6-year note payable dated January 1, 2020, Assume the weighted average accumulated expenditures for the construction project are $4390000. The amount of interest cost to be capitalized during 2020 is O $395100. O $465300. O $520200. $417000