Thornton Industries began construction of a warehouse on July 1, 2016. The project was completed on March 31, 2017. No new loans were required to fund construction. Thornton does have the following two interest-bearing liabilities that were outstanding throughout the construction period: $2,000,000, 8% note $8,000,000, 4% bonds Construction expenditures incurred were as follows: July 1, 2016 $ 400,000 September 30, 2016 600,000 November 30, 2016 600,000 January 30, 2017 540,000 The company’s fiscal year-end is December 31. Required: Calculate the amount of interest capitalized for 2016 and 2017. (Do not round the intermediate calculations. Round your percentage answers to 1 decimal place (i.e. 0.123 should be entered as 12.3%).)