On January 2, 2012 Indian River Groves began construction of a new citrus processing plant. The automated plant was finished and ready for use on September 30, 2013. Expenditures for the construction were as follows: January 2, 2012 $300,000 September 1, 2012 900,000 December 31, 2012 900,000 March 31, 2013 900,000 September 30, 2013 600,000 Indian River Groves borrowed $1,650,000 on a construction loan at 12% interest on January 2, 2012. This loan was outstanding during the construction period. The company also had $6,000,000 in 9% bonds outstanding in 2012 and 2013. 94. The interest capitalized for 2013 was: A) $187,110 B) $177,458 C) $ 38,610 D) $ 148,500