Capitalization of borrowing costs will commence when 1) Expenditures for the asset are being incurred 2) Borrowing costs are being incurred 3) 1&2?

Capitalization commences when expenditure is being incurred on the asset, borrowing costs are being incurred and activities to prepare the asset for its intended purpose are in progress.

Capitalization ceases when substantially all the activities necessary to prepare the qualifying asset for its intended use or sale are complete.

Capitalization suspended when work suspends e.g. due to strike.