Question

Windsor Company is constructing a building. Construction began on February 1 and was completed on December 31. Expenditures were $2,064,000 on March 1, $1,212,000 on June 1, and $3,092,500 on December 31. Compute Windsor’s weighted-average accumulated expenditures for interest capitalization purposes.

Answer 1

Answer:

2,064,000×8/12 =1,376,000

1,212,000×7/12= 707,000

3,092,500×0=0

Weighted Average

expend.=2,083,000

good luck ❤