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construction of the building. In addition, the company had
outstanding all year a 10%, 3-year, $4,800,000 note payable and an
11%, 4-year, $9,000,000 note payable.
What is the weighted-average interest rate used for interest
capitalization purposes?
32) Arlington Company is constructing a building. Construction
began on January 1 and was completed on December 31.
Expenditures were $4,800,000 on March 1, $3,960,000 on June 1,
and $6,000,000 on December 31. Arlington Company borrowed
$2,400,000 on January 1 on a 5-year, 12% note to help finance
construction of the building. In addition, the company had
outstanding all year a 10%, 3-year, $4,800,000 note payable and an
11%, 4-year, $9,000,000 note payable.
What is the weighted-average interest rate used for interest
capitalization purposes?
33) Assets that qualify for interest cost capitalization include
34) Arlington Company is constructing a building. Construction
began on January 1 and was completed on December 31.
Expenditures were $4,800,000 on March 1, $3,960,000 on June 1,
and $6,000,000 on December 31. Arlington Company borrowed
$2,400,000 on January 1 on a 5-year, 12% note to help finance
construction of the building. In addition, the company had
outstanding all year a 10%, 3-year, $4,800,000 note payable and an
11%, 4-year, $9,000,000 note payable.
What are the weighted-average accumulated expenditures?
35) Which of the following is a capital expenditure?
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ACC 304 Week 5 Midterm Part 2