Interest Capitalization Example | Intermediate Accounting | CPA Exam FAR

[@khayla_matthews]

This video was so clear to understand. You're an excellent teacher. I was struggling with this concept, but I didn't realize that if the specific amount borrowed for the project is greater than the weighted-average accumulated expenditures, then you don't have to compute the weighted-average interest on in any other outstanding debts mentioned in the word problem. 6:40 small detail that makes a big difference. Thanks for making sure to highlight that.

[@AccountingLectures]

You're very welcome!Please take a look at my website for more resources: farhatlectures.com/

[@auliafristi3286]

CLEARLY! THANKS❤

[@AccountingLectures]

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[@nuramieranatasya]

Thanks... It help me a lot

[@AccountingLectures]

Thank you. Please connect with me: linktr.ee/farhatlectures

[@nuramieranatasya]

@@AccountingLectures May I ask, how to record journal entry for major repair of PPE

[@phuonghoanguyen9772]

Thank you so much

[@AccountingLectures]

Thank you and please visit the website for more farhatlectures.com/

[@serajabdullat9165]

what about the 150,000 for the land cost that the example mentioned ?? please answer

[@yuvareenajohn6952]

What if they asked for interest to be capitalised for 2018 also

[@NidhinCMA]

sir , why are we finding interest expense and what do we do with it?

[@AccountingLectures]

Either expense or capitalize: Please take a look at my website for additional resources : farhatlectures.com/

[@al-mahamud5967]

If i take specific loan for construction and put this money in bank and earn interest income, how should it be treated as per IAS 23? should the interest income be deducted from avoidable interest or actual interest?