Sami Design Ltd manufactures Sami musical instruments for use by high school students. The company uses a job costing system in which manufacturing overhead is applied on the basis of direct labour hours. The company's budget for the current year included the following predictions: Budgeted total manufacturing overhead Budgeted total direct labour hours $885,500 44275 During March, the firm began two production jobs: job number T81, consisting of 115 trombones job number C40, consisting of 170 cornets. The events of March are described as follows: 1000 square metres of rolled Sami sheet metal were purchased on credit for $2000. 400kilograms of Sami tubing were purchased on credit for $1300. The following requisitions were filed on 5 March: -requisition number 112: 250 square metres of Sami sheet metal @ $5 per square metre (for job number T81). requisition number 113: 1000 kilograms of Sami tubing @ $10 per kilogram (for job number C40). requisition number 114: 10 litres of valve lubricant @ $1 per litre. - All Sami used in production is treated as direct material. Valve lubricant is an indirect material. An analysis of labour time sheets revealed the following labour usage for March: -direct labour: job number T81, 200 hours @ $29 per hour direct labour: job number C40,300 hours @ $29 per hour indirect labour: general factory clean-up, $1650 indirect labour: factory supervisory salaries, $4300 Depreciation of the factory building and equipment during March amounted to $7300. Rent paid in cash for warehouse space used during March was $730. Electricity costs incurred during March amounted to $1395 The invoices for these costs were received, but the bills were not paid in March. March council rates and property taxes on the factory were paid in cash, $1460. Insurance cost covering factory operations for March was $2160 The insurance policy had been prepaid in February. Costs of salaries and on-costs for sales and administrative personnel paid in cash during March amounted to $3300. Depreciation on administrative office equipment and space amounted to $1650. Other selling and administrative expenses paid in cash during March amounted to $1000. Job number T81 was completed in March. Half the trombones in job number T81 were sold on credit during March for $200 each.