Post Utme Ims U 2019 Accounting Question 31

A company uses a job costing system to account for its manufacturing costs. The company has two production departments, Cutting and Assembly. The Cutting department incurred costs of ₦120,000 for direct materials and ₦80,000 for direct labor. The Assembly department incurred costs of ₦150,000 for direct materials and ₦100,000 for direct labor. The company's overhead costs are allocated to the departments based on the number of units produced. The Cutting department produced 500 units, and the Assembly department produced 600 units. If the company's overhead rate is ₦20 per unit, what is the total overhead cost allocated to the Cutting department?