It is essentially calculated as the interest rate times the outstanding principal amount of the debt. Interest expense on the income statement represents interest accrued during the period covered by the financial statements, and not the amount of interest paid over that period.
Even though my basement bathroom cost was around $3,700, you could probably do it for just under $2,000 if you really pushed the envelope, maybe even less. I'm not going to sugarcoat the project. From a time perspective it takes awhile if you're doing it by yourself.
1 Do-it-yourself costs to convert an existing garage or basement into a bedroom run anywhere from $200-$5,000. 2  Hiring a contractor for the conversion project can be $7,500-$50,000 or more depending on the size and condition of the existing space; whether the project includes a bathroom; and local labor rates. If you're adding weight to your foundation, you may need a report from a structural engineer at a cost of $300-$800 or more, to see if your existing foundation needs to be reinforced or repaired. 2  You'll probably need a set of plans for your bedroom addition. 3  Your builder might be able to supply them.