Capitalized Interest Setup

To set up capitalized interest, you must specify the following capitalized interest options to calculate and capitalize interest on construction-in-progress costs.

• Capitalized Interest Rate: Define thresholds when projects or tasks become eligible for interest calculation and selecting the basis attributes used to calculate interest amounts.

• Capitalized Interest Rate Schedules: Create capitalized interest rate schedules with multipliers for organization and interest rate combinations to calculate capitalized interest.

• Capitalized Interest Rate Schedules for Project Types: Review and update project types to specify the default rate schedule for a capital project type. The rate schedule that you specify for a project type is the default rate schedule for all projects that you create for this project type. You can specify to override the default rate schedule at the project level.

• Capitalized Interest Generation on Project Status Controls: Use project status controls to determine the capitalized interest calculation through the various stages of a project. You must determine the project statuses for which you want to allow the calculation of capitalized interest and update project status controls accordingly. You can review the statuses at a later stage and modify them as required.