Problem 1: Custom Carpeting reported the following data for its most recent fiscal year's manufacturing operations:
Direct labor hours
6,000
Direct labor cost
$120,000
Machine hours
4,000
Material cost
$800,000
Manufacturing overhead
$600,000
Problem 2: Manufacturing overhead is allocated to jobs based on direct labor hours. One of the company's custom jobs used $3,000 of direct materials, $2,000 of direct labor (10 hours at $20 per hour), and 6 machine hours. What was the total cost of this job?
A) $5,120
B) $5,600
C) $5,900
D) $6,000