Gandalf Manufacturing Company produced 38,000 units of product in 2014, using 285,000 units of direct materials and 10,000 direct labor hours. During the year, 320,000 units of direct material were purchased for $608,000. Total wages were $84,000.

Gandalf expected to use 8 units of direct material for each unit of product, and 15 minutes of direct labor. Gandalf expected to pay $1.75 per unit for direct materials and $8 per hour for direct labor.

Calculate Gandalf