The manufacturing cost for Buccaneers Ltd for next year is expected to be made up as follows:

$000 Direct materials: Forming department 450 Machining department 100 Finishing department 50 Direct labour: Forming department 180 Machining department 120 Finishing department 75 Indirect materials: Forming department 40 Machining department 30 Finishing department 10 Administration department 10 Indirect labour: Forming department 80 Machining department 70 Finishing department 60 Administration department 60 Maintenance cost 50 Rent and rates 100 Heating and lighting 20 Building insurance 10 Machinery insurance 10 Depreciation of machinery 120 Total manufacturing cost 1,645\fDirect labour hours: Forming department 4 hours Machining department 4 hours Finishing department 1 hour Machine hours: Forming department 1 hour Machining department 2 hours Finishing department I hour Direct materials: Forming department $40 Machining department $9 Finishing department $4