A company constructs a building for its own use. Construction began on January 1 and ended on December 30. The expenditures for construction were as follows: January 1, $590,000; March 31, $690,000; June 30, $490,000; October 30, $870,000. The company arranged a 8% loan on January 1 for $880,000. Assume the $880,000 loan is not specifically tied to the construction of the building. The company's other borrowings, outstanding for the whole year, consisted of a $4 million loan and a $6 million note with interest rates of 12% and 7%, respectively. Assuming the company uses the weighted-average method, calculate the amount of interest capitalized for the year. Note: Enter your answers in whole dollars and not in millions. Do not round intermediate calculations. Round your percentage answers to 2 decimal places (i.e. 0.1234 should be entered as 12.34%). Date January 1 March 31 June 30 October 30 Accumulated expenditures Average accumulated expenditures Construction loan Other loans (not construction) Answer is complete but not entirely correct. Expenditure $ 590,000 690,000 490,000 870,000 $ 2,640,000 Weight Average 12/12 = $ 590,000 9/12 = 517,500 6/12 = 245,000 3/12 X = 217,500 $ 1,570,000 Capitalized Amount Interest Rate Interest $ 1,570,000 = X 880,000 690,000 8.00 % = $ 70,400 10.09 % = 69,621 $ 140,021