TQM Manufacturing Company manufactures custom cabinets for modular and prefabricated housing companies. During the current year, an order of 1,000 customized cabinets was begun and assigned job no. 3635. Custom jobs are marked at 50% above cost. The total production costs of the 1,000 cabinets are as follows: Direct materials Direct labor (3,000 H @ P52) Factory overhead, 45.00 per DL hours including allowance for spoilage of P2.80) P292,000 Upon inspection, 100 of the cabinets were found to have defects. Cost of rework per unit include materials, P40 and 1/2 hour. Overhead is applied on the defective jobs at the same rate. 11. The total costs as basis for billing the customer is: