Hanson Company (see BE10-2) borrowed $1,000,000 on March 1 on

Hanson Company (see BE10-2) borrowed $1,000,000 on March 1 on a 5-year, 12% note to help finance construction of the building. In addition, the company had outstanding all year a 10%, 5-year, $2,000,000 note payable and an 11%, 4-year, $3,500,000 note payable. Compute the weighted-average interest rate used for interest capitalization purposes.

$1.99
Sales 21
Views 1054
Comments 0
  • CreatedFebruary 19, 2011
  • Files Included
Advertisment Here