Please do not give solution in image format ? And Fast answering please and explain proper steps by Step. Date(Current Year)January 1 Beginning Construction in ProgressApril 1August 1Total Accumulated ExpenditureWeighted-AverageAccumulated Expenditures Yawyag Corporation engaged Sir Peter, Inc. to design and construct a manufacturing facility.Construction began on January 2 of Year 1 and was completed on October 1 of Year 2. Thefollowing payments were made to the contractor during Year 1 and Year 2.(Click the icon to view payments.)(Click the icon to view additional information.)(Click the icon to view the interest capitalized in Year 1.)Read the requirements.Show Transcribed TextYearYear 1Year 2DateJanuary 2August 1October 1December 1April 1August 1Show Transcribed TextAmount$ 2,400,0001,800,0003,600,0001,200,000900,0001,800,000Show Transcribed TextĆTo specifically finance the project, Yawyag issued $2,800,000 of 3-year, 5% notespayable on January 2. Interest is payable annually on December 31 each year.Prior to the commencement of the latest construction project, Yawyag had otherdebt in its capital structure. All general debt is outstanding as of the beginning ofYear 1. The general debt consists of $5,000,000 par value, 6% bonds payable anda $1,000,000, 9% note payable. Both debt instruments require annual interestpayments each December 31. On January 2 of Year 2, Yawyag was required totake out a $2,400,000, 9% line of credit to help finance its operating cycle.During Year 1, Yawyag accumulated $9,000,000 of expenditures and capitalized$227,750 of interest into the construction in progress account related to theconstruction of the manufacturing facility.

Weighted average Accumulated Expenditure is calculated based on time weights.

Yawyag Corporation engaged Sir Peter, Inc. to design and construct a manufacturing facility. Construction began on January 2 of Year 1 and was completed on October 1 of Year 2. The following payments were made to the contractor during Year 1 and Year 2. (Click the icon to view payments.) (Click the icon to view additional information.) (Click the icon to view the interest capitalized in Year 1.). Read the requirements. Show Transcribed Text Year Year 1 Year 2 Date January 2 August 1 October 1 December 1 April 1 August 1 Show Transcribed Text 3 Show Transcribed Text To specifically finance the project, Yawyag issued $2,800,000 of 3-year, 5% notes payable on January 2. Interest is payable annually on December 31 each year. Prior to the commencement of the latest construction project, Yawyag had other debt in its capital structure. All general debt is outstanding as of the beginning of Year 1. The general debt consists of $5,000,000 par value, 6% bonds payable and a $1,000,000, 9% note payable. Both debt instruments require annual interest payments each December 31. On January 2 of Year 2, Yawyag was required to take out a $2,400,000, 9% line of credit to help finance its operating cycle. Amount $ 2,400,000 1,800,000 3,600,000 1,200,000 900,000 1,800,000 3 During Year 1, Yawyag accumulated $9,000,000 of expenditures and capitalized $227,750 of interest into the construction in progress account related to the construction of the manufacturing facility.

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 2EA: Consider the following accounts and determine if the account is a current liability, a noncurrent...