In 2016 (one year later when the rates have changed), Kranworth continued allocating R&D costs among its three divisions (Retail, Wholesale, Custom) using the dual rates method. The following information for 2016 is available:

Actual R&D costs total	730,000
Budgeted total costs	726,000
Budgeted fixed	495,000
Budget (variable cost per hour)	110
Total R&D capacity (hours)	2,400

	Retail	Wholesale	Custom
Budgeted hours	550	1,100	450
Total actual hours	600	1,100	500

How much of the 730,000 should be allocated to the retail division? Assume there is only one variable cost rate (no upcharge when actual hours exceed budgeted hours).