- factoring company
I need help with this problem. Thanks!
On January 1, 2013, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2014. The company borrowed $1,500,000 at 8% on January 1 to help finance the construction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2013:
$5,000,000, 12% bonds
$3,000,000, 8% long-term note
Construction expenditures incurred during 2013 were as follows:
January 1 $ 600,000
March 31 1,200,000
June 30 800,000
September 30 600,000
December 31 400,000
Required:
Calculate the amount of interest capitalized for 2013 using the specific interest method. (Do not round intermediate calculations.)
On January 1, 2013, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2014. The company borrowed $1,500,000 at 8% on January 1 to help finance the construction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2013:
$5,000,000, 12% bonds
$3,000,000, 8% long-term note
Construction expenditures incurred during 2013 were as follows:
January 1 $ 600,000
March 31 1,200,000
June 30 800,000
September 30 600,000
December 31 400,000
Required:
Calculate the amount of interest capitalized for 2013 using the specific interest method. (Do not round intermediate calculations.)
Interest capitalized accounting question?
没有评论:
发表评论