This is pretty obvious, You know that you cant charge 5/1000 you wont break even. The other thing you didn't figure in was overhead. If it was me I would break it down like this:
Material $185 (material cost is way to high none the less)
Labor $16 for the hour including taxes and WC
Overhead $25 per hour.
Now add your profit margin. Me personally I dont like to go under three times cost of materials. So my minimum would be 555.00. this is probably a little high however for me it is not far off. I would probably end up somewhere around the 475 mark.