On December 1, 2019, Montgomery Industries contracted with Gannett Construction to build a factory building....
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On December 1, 2019, Montgomery Industries contracted with Gannett Construction to build a factory building. On that same day, Montgomery borrowed $500,000 on a construction loan at 10% interest to finance this project, and it immediately paid Gannett $120,000 as an initial payment on the contract. Construction of the factory building began on January 1, 2020, and Montgomery made the following additional payments to Gannett during 2020:
| Date | Amount |
| March 1 | $72,000 |
| May 1 | 180,000 |
| July 1 | 36,000 |
| October 1 | 64,000 |
The project was completed on October 1, 2020.
Required:
Determine the cost of the factory building, including the amount of any capitalized interest
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