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## NOTE 12. CAPITAL ASSETS 

(A) Continuity 

<img src='content_image/230014.jpg'>

(B) Reconciliation to Cash Additions 

<img src='content_image/230013.jpg'>

(C) Construction in Progress 

The net book value of capital assets includes $5,451 (£3,092) of capitalized interest at Bristol Water in accordance with IAS 23. Capstone has used 5.5% as the interest rate to determine the amount capitalized. 

As assets became available for use, their carrying values were transferred from construction in progress to the appropriate asset class at which time amortization over the asset useful life began. Carrying values within construction in progress are not amortized. 

(D) Capital Assets Under Finance Leases 

<img src='content_image/230012.jpg'>

