Reference no: EM133000451

Question - National Marketing Corp. uses a job-order costing system. It has three production departments, X, Y and Z.

The manufacturing cost budget for 2011 is as follows:

	Dept. X	Dept. Y	Dept. Z
Direct Materials	P600,000	P400,000	P200,000
Direct Labor	200,000	500,000	400,000
Manufacturing overhead	600,000	100,000	200,000

For Job no. 01-90 which was completed in 2011, direct materials cost was P75,000 and direct labor was as follows:

Dept. X P40,000

Dept. Y 100,000

Dept. Z 20,000

The corporation applies manufacturing overhead to each job order on the basis of direct labor cost, using departmental rates predetermined at the beginning of the year based on the manufacturing cost budget.

Required - What the total manufacturing cost of Job No. 01-90 which was completed in 2011?