On January 1, 2016 Dream world Co. began construction of a new warehouse. The building was finished and ready for use on September 30, 2017. Expenditures on the project were as follows
January 1, 2016..............................$330,000
September1,2016............................$495,000
December 31,2016...........................$495,000
March 31,2017................................$495,000
September 30,2017...........................$330,000
Dream world had $6,500,000 in 12% bonds outstanding through both. Dream world's capitalized interest in 2016 was:
$39,600.
$79,200.
$59,400.
$69,300.