Kubes Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $90,000, variable manufacturing overhead of $3.50 per direct labor-hour, and 30,000 direct labor-hours. The company has provided the following data concerning Job A477 which was recently completed:Total direct labor-hours100Direct materials$ 520Direct labor cost$ 2,800 The total job cost for Job A477 is closest to:
A. $3,320
B. $1,170
C. $3,970
D. $3,450
Answer: C
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