Reference no: EM133126968

Question - Strahan Products uses a job-costing system with two direct-cost categories (direct materials and direct production labour) and one production overhead cost pool. Strahan Products allocates production overhead costs using direct production labour costs. Strahan Products provides the following information:

	Budget for 2020	Actual results for 2020
Direct materials costs	$654,000	$654,000
Direct production labour costs	$244,000	$286,000
Production overhead costs	$828,000	$785,000

During March, the job-cost record for job 123 contained the following information:

Direct materials used $64,000

Direct production labour costs $29,000

Required - Calculate the cost of job 123 using normal costing?