The cost of sale of production 'A' is made up as follows:-

Material used in manufacturing

RM 5,500

Material used in packing material

RM 1,000

Material used in selling the product

RM 150

Material used in the factory

RM 175

Material used in the office

RM 125

Labour required in production

RM 1,000

Labour required for supervision in factory

RM 200

Expenses direct factory

RM 500

Expenses indirect factory

RM 100

Expenses office

RM 125

Depreciation of office building

RM 75

Depreciation on factory plant

RM 175

Selling expenses

RM 350

Freight on material

RM 500

Advertising

RM 125

Assuming that all products manufactured and sold, what should be the selling price be fixed to

obtain a profit of 20% on selling price.