# Dexter Construction Corporation is building a student condominium complex; it started construction on January 1, Year 1. Dexter borrowed $2.5 million on January 1 specifically for the project by issuing a 10%, 5-vear,$2.5 million note, which is payable on December 31 of Year 3. Dexter also had a 12%, 5-year, $3 million note payable and a 10%, 10-year,$1.8 million note payable outstanding all year. Calculate the weighted average interest rate on the non-construction-specific debt for Year 1. RE10-9 Refer to RE10-8. In Year 1, Dexter incurred costs as follows: Calculate Dexter’s weighted average accumulated expenditures. RE10-11Refer to the information in RE 10-8 and RE10-9. Assume that Dexter borrowed SI million specifically for the project by issuing a 10%, 5-year, $1 million note (instead of borrowing$2.5 million as stated in RE10-8). Calculate Dexter’s capitalized interest on the student condominium complex in Year 1.

### Intermediate Accounting: Reporting...

3rd Edition
James M. Wahlen + 2 others
Publisher: Cengage Learning
ISBN: 9781337788281

### Intermediate Accounting: Reporting...

3rd Edition
James M. Wahlen + 2 others
Publisher: Cengage Learning
ISBN: 9781337788281

#### Solutions

Chapter
Section
Chapter 10, Problem 11RE
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