1 Required information (The following information applies to the questions displayed below.] Antuan Company set the following standard costs for one unit of its product. Part 1 of 3 - X 03-55:35 Direct materials (3.2 Ibs. @ $6.ee per Ib.) Direct labor (1.9 hrs. @ $12.00 per hr.) Overhead (1.9 hrs. @ $18.50 per hr.) Total standard cost $18.00 22.80 35.15 $75.95 The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volume of 75% of the factory's capacity of 20,000 units per month. Following are the company's budgeted overhead costs per month at the 75% capacity level. Overhead Budget (75% Capacity) Variable overhead costs Indirect materials $ 15,000 Indirect labor 90,000 Power 15,000 Repairs and maintenance 30,000 Total variable overhead costs $150,880 Fixed overhead costs Depreciation-Building 25,000 Depreciation-Machinery 71,000 Taxes and insurance 17,000 Supervision 264, 250 Total fixed overhead costs 377,250 Total overhead costs $527,250 The company incurred the following actual costs when it operated at 75% of capacity in October $ 280,620 242,800 Direct materials (46,000 lbs. @ $6.18 per lb.) Direct labor (20,000 hrs. @ $12.10 per hr.) Overhead costs Indirect materials Indirect labor Power Repairs and maintenance Depreciation-Building Depreciation-Machinery Taxes and insurance Supervision Total costs $ 41,650 176,180 17,250 34,500 25,000 95,850 15,300 264,250 669,900 $1,192,500 3. Compute the direct materials cost variance, including its price and quantity variances. (Indicate the effect of each variance by selecting for favorable, unfavorable, and No variance.) Actual Cost Standard Cost 0 S 0 $ 0 $ 0 0