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Required information

EX $14-37($Algo$)$ Special Order $($LO $14-4,14-5)$

$[$The following information applies to the questions displayed below.$]$

Intercontinental's special order requires $1,300$ kilograms of genatope, a solid chemical regularly used in the company's

products. The current stock of genatope is $8,600$ kilograms at a book value of $8\mathrm{.}60p$ per kilogram. If the special order is

accepted, the firm will be forced to restock genatope earlier than expected, at a predicted cost of $9\mathrm{.}20p$ per kilogram.

Without the special order, the purchasing manager predicts that the price will be $8\mathrm{.}80p$ when normal restocking takes

place. Any order of genatope must be in the amount of $5,600$ kilograms.

EX $14-37($Algo$)$ Part $1$: What is the relevant cost of genatope?

Required:

What is the relevant cost of genatope?

Note: Enter your answer in pesos.