. Required:Calculate the amount of interest capitalized for 2024 and 2025.
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- Thornton Industries began construction of a warehouse on July 1, 2021. The project was completed on March 31, 2022. No new loans were required to fund construction. Thonton does have the following two interest-bearing liabilities that were outstanding throughout the construction perlod: $3,000, 000, 12% note $7,000, 000, 7X bonds Construction expenditures Incurred were as follows: July 1, 2021 Septenber 30, 2021 November 30, 2021 January 30, 2022 $ 700,000 990,000 990, 000 930,000 The company's fiscal year-end is December 31. Required: Calculate the amount of interest capitallized for 2021 and 2022. Complete this question by entering your answers in the tabs below. 2021 2022Thornton Industries began construction of a warehouse on July 1, 2024. The project was completed on March 31, 2025. 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, 5% note $9,000,000, 2% bonds Construction expenditures incurred were as follows: July 1, 2024 $ 800,000 September 30, 2024 1,200,000 1,200,000 1,140,000 November 30, 2024 January 30, 2025 The company's fiscal year-end is December 31. Required: Calculate the amount of interest capitalized for 2024 and 2025. Answer is not complete. Complete this question by entering your answers in the tabs below. 2024 2025 Calculate the amount of interest capitalized for 2024. Note: Do not round the intermediate calculations. Round your percentage answers to 1 decimal place (i.e. 0.123 should be entered as 12.3%). Date Expenditure Weight July 1, 2024 $ September 30, 2024 November 30, 2024 800,000 1,200,000 X…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-bearingliabilities that were outstanding throughout the construction period:$2,000,000, 8% note$8,000,000, 4% bondsConstruction expenditures incurred were as follows:July 1, 2018 $400,000September 30, 2018 600,000November 30, 2018 600,000January 30, 2019 540,000The company’s fiscal year-end is December 31.Required:Calculate the amount of interest capitalized for 2018 and 2019.
- 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: $3,000,000, 8% note $5,000,000, 4% bonds Construction expenditures incurred were as follows: July 1, 2018 September 30, 2018 November 30, 2018 January 30, 2019 $ 660,000 930,000 930,000 870,000 The company's fiscal year-end is December 31. Required: Calculate the amount of interest capitalized for 2018 and 2019.Hawkins Corporation began construction of a motel on March 31, 2021. The project was completed on April 30, 2022. No new loans were required to fund construction. Hawkins does have the following two interest-bearing liabilities that were outstanding throughout the construction period:$5,100,000, 6% note$14,540,000, 10% bondsConstruction expenditures incurred were as follows: March 31, 2021 $ 3,910,000 June 30, 2021 5,910,000 November 30, 2021 1,782,000 February 28, 2022 2,910,000 The company’s fiscal year-end is December 31.Required:Calculate the amount of interest capitalized for 2021 and 2022. (Round weighted average interest rate to 2 decimal places and final answers to the nearest whole dollar.)Hawkins Corporation began construction of a motel on March 31, 2024. The project was completed on April 30, 2025. No new loans were required to fund construction. Hawkins does have the following two interest-bearing liabilities that were outstanding throughout the construction period: $4,600,000, 6% note $20,440,000, 10% bonds Construction expenditures incurred were as follows: March 31, 2024 $ 4,540,000 June 30, 2024 6,540,000 November 30, 2024 1,908,000 February 28, 2025 3,540,000 The company's fiscal year-end is December 31. Required: Calculate the amount of interest capitalized for 2024 and 2025.
- On January 1, 2021, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2022. 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 2021: B 4 12% bonds Long-term note, 8% Required: Construction expenditures incurred during 2021 were as follows: January 1 March 31 June 30 September 30 December 1 $600,000 $1,200,000 $800,000 $600.000 $300,000 Calculate the amount of interest capitalized for 2021 using the specific interest method. (Do not round the intermediate calculations. Round your percentage answers to 1 decimal place.) Expenditure Average Date January 1 March 31 June 30 September 30 December 1 Avg. accumulated expenditures 5,000,000 3,000,000 Average accumulated expenditures X X X X X Amount Weight X X IIII|| Interest Rate P Capitalized InterestKlutlan 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. Klutlan does have the following two interest-bearing liabilities that were outstanding throughout the construction period: $2,000,000, 8% note $8,000,000, 5% bonds Construction expenditures incurred were as follows: July 1, 2018 $520,000 September 30, 2018 600,000 November 30, 2018 600,000 January 30, 2019 540,000 The company's fiscal year-end is December 31. Question The total value of the warehouse at the end of construction would be: a $2,288,000 b $2,317,702 c $1,745,760 d $2,260,000On January 1, 2024, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2025. The company borrowed $2,200,000 at 8% on January 1 to help finance the construction in addition to the construction loan, Highlands had the following debt outstanding throughout 2024 $9,000,000, 10% bonds $6,000,000, 8% long-term note Construction expenditures incurred during 2024 were as follows January 1 March 31 June 30 September 30 December 31 Date $ 900,000 1,500,000 1,160,000 Required: Calculate the amount of interest capitalized for 2024 using the specific interest method Note: Do not round the Intermediate calculations, Round your percentage answers to 1 decimal place (l.e. 0.123 should be entere es 12.3%). January 1 March 31 June 30 September 30 December 31 Accumulated expenditure 900,000 700,000 Expenditure $ Average accumulated expenditures S Amount 0 0 X x X X X x X Weight Interest Rate %6 % = = = = = Average S Capitalized…
- On January 1, 2021, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2022. 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 2021: $5,000,000, 12% bonds $3,000,000, 8% long-term note Construction expenditures incurred during 2021 were as follows:January 1 $ 600,000March 31 1,200,000June 30 800,000September 30 600,000December 31 400,000Required:Calculate the amount of interest capitalized for 2021 using the specific interest method.On January 1, 2018, the Highlands Company began construction on a new manufacturing facility for its own use.The building was completed in 2019. The company borrowed $1,500,000 at 8% on January 1 to help finance theconstruction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2018:$5,000,000, 12% bonds$3,000,000, 8% long-term noteConstruction expenditures incurred during 2018 were as follows:January 1 $ 600,000March 31 1,200,000June 30 800,000September 30 600,000December 31 400,000Required:Calculate the amount of interest capitalized for 2018 using the specific interest method.On January 1, 2021, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2022. The company borrowed $2,150,000 at 9% on January 1 to help finance the construction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2021: $8,000,000, 14% bonds $2,000,000, 9% long-term note Construction expenditures incurred during 2021 were as follows: January 1 March 31 June 30 September 30 December 31 Date $ 880,000 1,480,000 1,136,000 Required: Calculate the amount of interest capitalized for 2021 using the specific interest method. (Do not round the Intermediate calculations. Round your percentage answers to 1 decimal place (l.e. 0.123 should be entered as 12.3%).) January 1 March 31 June 30 September 30 December 31 Accumulated expenditure 880,000 680,000 Average accumulated expenditures Expenditure Amount x x X X X X Weight Interest Rate %6 %6 = = = = = Average Capitalized Interest