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Alpha Company manufactures customized motors on a job-order basis. Job 492 is an order for 100 units. It requires the following: direct materials $3,000 direct

Alpha Company manufactures customized motors on a job-order basis. Job 492 is an order for 100 units. It requires the following:

direct materials $3,000

direct labor ($10/hr) 1,000

overhead (150% DL$) 1,500

After inspection, 2 units required rework which required 8 additional direct labor hours and $60 of materials.

If the rework is considered abnormal spoilage, what is the cost of job 492?

$3,140

$5,500

$5,760

$6,740

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