Saturn Accounting Services Expects Its Accountants to Work a Total

Saturn Accounting Services expects its accountants to work a total of 30,000 direct labor hours per year.The company's estimated total indirect costs are $150,000.The direct labor rate is $100 per hour.The company uses direct labor hours as the allocation base for indirect costs.If Saturn performs a job requiring 50 hours of direct labor and bills the client using a standard markup of 40%,calculate the amount of the client's bill.

A) $7,700
B) $4,900
C) $7,000
D) $7,350