3. Flounder Co. both purchases and constructs various equipment it uses in its operations. The following items for two different types of equipment were recorded in random order during the calendar year 2020.

Purchase
Cash paid for equipment, including sales tax of $6,900		$144,900
Freight and insurance cost while in transit		2,760
Cost of moving equipment into place at factory		4,278
Wage cost for technicians to test equipment		5,520
Insurance premium paid during first year of operation on this equipment		2,070
Special plumbing fixtures required for new equipment		11,040
Repair cost incurred in first year of operations related to this equipment		1,794
Construction
Material and purchased parts (gross cost $276,000; failed to take2% cash discount)		$276,000
Imputed interest on funds used during construction (stock financing)		19,320
Labor costs		262,200
Allocated overhead costs (fixed-$27,600; variable-$41,400)		69,000
Profit on self-construction		41,400
Cost of installing equipment		6,072

Compute the total cost to be capitalized for each of these two pieces of equipment.

Purchase equipment

Construction equipment

4. Splish Company is constructing a building. Construction began on February 1 and was completed on December 31. Expenditures were $1,884,000on March 1, $1,284,000on June 1, and $3,082,450on December 31. Compute Splish's weighted-average accumulated expenditures for interest capitalization purposes. Weighted average accumulated expenditures is