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Yaamutu Ltd uses a predetermined overhead rate to allocate overhead. Overhead is allocated on the basis of machine hours. At the beginning of the year,

Yaamutu Ltd uses a predetermined overhead rate to allocate overhead. Overhead is allocated on the basis of machine hours.

At the beginning of the year, the following estimates are provided:

Direct Labour Hours 10,000

Machine Hours 20,000

Direct Labour Cost $800,000

Overhead Cost $300,000

Actual Costs reported for all jobs during the year are as follows:

Direct Labour Hours 90,000

Machine Hours 12,000

Direct Labour Cost $750,000

Overhead Cost $250,000

The accounting records of the company show the following data for Job 60 which was done for Naya Ltd.

Direct Labour Hours 150

Machine Hours 50

Direct Material Cost $1,000

Direct Labour Cost $1,500

What is the cost of this job?

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