On january 1, 2021, the shagri company began construction on a new manufacturing facility for its own use. the building was completed in 2022. the only interest-bearing debt the company had outstanding during 2021 was long-term bonds with a book value of $10,000,000 and an effective interest rate of 8%. construction expenditures incurred during 2021 were as follows: january 1

$500,000

march 1

600,000

july 31

480,000

september 30

600,000

december 31

300,000

required:

calculate the amount of interest capitalized for 2021.

Solomon chemical company makes three products, b7, k6, and x9, which are joint products from the same materials. in a standard batch of 320,000 pounds of raw materials, the company generates 70,000 pounds of b7, 150,000 pounds of k6, and 100,000 pounds of x9. a standard batch costs $3,840,000 to produce. the sales prices per pound are $10, $14, and $20 for b7, k6, and x9, respectively. (a) allocate the joint product cost among the three final products using weight as the allocation base. (b) allocate the joint product cost among the three final products using market value as the allocation base. (c) allocate the joint product cost among the three final products using weight as the allocation base.