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Note 3 - Interest - Interest Costs Incurred, Expensed and Capitalized (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Apr. 30, 2021
Apr. 30, 2020
Apr. 30, 2021
Apr. 30, 2020
Interest capitalized at beginning of period $ 65,327 $ 67,879 $ 65,010 $ 71,264
Plus interest incurred(1) [1] 41,870 45,323 83,327 89,657
Less cost of sales interest expensed 21,725 18,589 38,890 36,725
Less other interest expensed(2)(3) [2],[3] 22,033 26,869 46,008 51,872
Less interest contributed to unconsolidated joint venture(4) [4] 3,667 0 3,667 4,580
Interest capitalized at end of period(5) [5] $ 59,772 $ 67,744 $ 59,772 $ 67,744
[1] Data does not include interest incurred by our mortgage and finance subsidiaries.
[2] Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows:
[3] Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $17.5 million and $13.8 million for the three months ended April 30, 2021 and 2020, respectively, and $33.7 million and $28.7 million for the six months ended April 30, 2021 and 2020, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed. This component of other interest was $4.5 million and $13.1 million for the three months ended April 30, 2021 and 2020, respectively, and $12.3 million and $23.2 million for the six months ended April 30, 2021 and 2020, respectively.
[4] Represents capitalized interest which was included as part of the assets contributed to joint ventures, as discussed in Note 18. There was no impact to the Condensed Consolidated Statement of Operations as a result of these transactions.
[5] Capitalized interest amounts are shown gross before allocating any portion of impairments, if any, to capitalized interest.