Question: On December 3 1 , 2 0 2 4 , Teal Inc. borrowed $ 1 , 1 4 0 , 0 0 0 at 1

On December 31,2024, Teal Inc. borrowed $1,140,000 at 13% payable annually to finance the construction of a new building. In 2025, the company made the following expenditures related to this building: June 1, $456,000; July 1, $684,000; September 1, $1,368,000; December 1, $684,000. The building was completed in April 2026. Additional information is provided as follows:
Other debt outstanding
10-year, 11% bond, dated December 31,2018, interest payable annually $11,400,000
15-year, 13% note, dated December 31,2012, interest payable annually $2,850,000
2. Interest revenue earned in 2025
$6,840
(a)
Determine the amount of interest to be capitalized in 2025 in relation to the construction of the building. (Round answer to 0 decimal places, e.g.5,125.)
The amount of interest $
On December 3 1 , 2 0 2 4 , Teal Inc. borrowed $

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