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Thornton Industries began construction of a warehouse on July 1, 2018. The project was completed on...

Thornton Industries began construction of a warehouse on July 1, 2018. The project was completed on March 31, 2019. No new loans were required to fund construction. Thornton does have the following two interest-bearing liabilities that were outstanding throughout the construction period:

$6,000,000, 8% note
$9,000,000, 3% bonds


Construction expenditures incurred were as follows:

July 1, 2018 $ 580,000
September 30, 2018 870,000
November 30, 2018 870,000
January 30, 2019 810,000


The company’s fiscal year-end is December 31.

Required:
Calculate the amount of interest capitalized for 2018 and 2019.
  

Date Expenditure Weight Average
July 1, 2018 x =
September 30, 2018 x =
November 30, 2018 x =
Accumulated expenditures $0 $0
Amount Interest Rate Capitalized Interest
Average accumulated expenditures $0 x % x = $0
Expenditure Weight Average
January 1, 2019 x =
January 30, 2019 x =
$0 $0
Amount Interest Rate Capitalized Interest
Average accumulated expenditures $0 x % x = $0
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