In accordance with the terms and conditions of the bond, the bondholders have a right to convert the bond notes and the accrued capitalized interest
related to the notes into Suominen shares.
Summary: After failing to gather a quorum (75%) at its noteholder meeting, XXI Century (XXIC) announced its cash position is insufficient to meet the scheduled repayment of principal and capitalized interest
For this purpose, OID can include capitalized interest
and loan origination fees.
These changes will simplify the computation of capitalized interest
under section 263A(f).
If the asset is acquired for sale, the capitalized interest
is expensed through the cost of goods sold account when the asset is sold.
This, of course, leads to smaller interest expense and larger capitalized interest
for income tax computations than for financial calculations.
For tax years 1994-1997, T computed capitalized interest
under the Sec.
The credit is equal to 10% of the equipment's original total capitalized cost, less capitalized interest
95-19 if it erroneously capitalized no interest; capitalized interest
, but erroneously computed the amount of interest required to be capitalized; or capitalized the correct amount of interest, but now wants to take advantage of a more favorable option in the final regulations, such as using an annual computation period that minimizes the compounding of capitalized interest
or using the more liberal rule for expensing interest incurred during production suspension periods adopted in the final regulations.