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Unformatted text preview: 1,070,000 * 10% * 500,000 * 6/12 Construction loan 25000 * 6 month construction period * construction expenditures took place with three months remaining in the construction period Debt Principal Interest Rate Length Loan interest (asset interest capitalization ceiling) 500,000 10% 0.50 25,000 Asset Interest Capitalized (3/12 period pf time) 1,045,000 10% 0.25 26,125 Amount Capitalized 25,000 Interest Charge...
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- Fall '08
- Accounting, Material Direct Labor, common stock premium, self constructed equipment, Debt Principal Loan