ABC Manufacturing is a small textile manufacturer using machine-hours as the single indirect-cost rate to allocate manufacturing overhead costs to the various jobs contracted during the year. The following estimates are provided for the coming year for the company and for the KLM School job.

Company

• Direct materials: $55,000
• Direct labor: $22,000
• Manufacturing overhead costs: $49,000
• Machine-hours: 70,000

KLM School Job

• Direct materials: $2,300
• Direct labor: $600
• Machine-hours: 700

What is the bid price for the KLM School job if the company uses a 40% markup of total manufacturing costs?