Design Arts Associates is an interior decorating firm in Berlin. The following costs were incurred in the firms contract to redecorate the mayors offices.

Direct material used	4,000		euros
Direct professional labor	6,000		euros

The firms budget for the year included the following estimates:

Budgeted overhead	400,000		euros
Budgeted direct professional labor	250,000		euros

Overhead is applied to contracts using a predetermined overhead rate calculated annually. The rate is based on direct professional labor cost. Required: Calculate the total cost of the firms contract to redecorate the mayors offices.