A company constructs a building for its own use. Construction began on January 1 and ended on December 30. The expenditures for construction were as follows:

January 1, $590,000;
March 31, $690,000;
June 30, $490,000;
October 30, $870,000.

To help finance construction, the company arranged an 8% construction loan on January 1 for $880,000. The company’s other borrowings, outstanding for the whole year, consisted of a $4 million loan and a $6 million note with interest rates of 12% and 7%, respectively.
Assuming the company uses the weighted-average method, calculate the amount of interest capitalized for the year.