Dreamworld's capitalized interest in 2009 was:
A)$72,000.
B)$63,000.
C)$54,000.
D)$36,000.$450,000 (determined above) 12% = $54,000

Question

Quizplus · Accepted Answer

Dreamworld's capitalized interest in 2009 was calculated by multiplying their total construction cost of $450,000 by the interest rate of 12%, which equals $54,000. Therefore, the best choice is C, with a capitalized interest of $54,000.

Dreamworld's Capitalized Interest in 2009 Was