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Business, 16.04.2020 01:00 2003loganreed
During 2017, Barden Building Company constructed various assets at a total cost of $14,700,000. The weighted average accumulated expenditures on assets qualifying for capitalization of interest during 2017 were $9,800,000. The company had the following debt outstanding at December 31, 2017: a.10%, 5-year note to finance construction of various assets, dated January 1, 2017, with interest payable annually on January 1 $6,300,000 b.12%, ten-year bonds issued at par on December 31, 2011, with interest payable annually on December 31 7,000,000 c.9%, 3-year note payable, dated January 1, 2016, with interest payable annually on January 1 3,500,000 Instructions Compute the amounts of each of the following (show computations). 1.Avoidable interest. 2.Total interest to be capitalized during 2017.
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During 2017, Barden Building Company constructed various assets at a total cost of $14,700,000. The...
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