A Company establishes the following standards for the costs of one unit of its product. The standard production overhead costs per unit are based on direct-labor hours. Calculation for standard per unit cost is as follows: Std Cost Std Qty Direct Material $ 24.75 3.00 kg Std Price/Rate $ 8.25 per kg Direct Labor $ 20.00 2.00 hour $ 10.00 per hour Variable Overhead $ 20.00 2.00 hour $ 10.00 per hour Fixed Overhead* $ 15.00 2.00 hour $7.50 per hour Total $ 79.75 *based on practical capacity of 20,000 direct-labor hour per month During December 2020, the Company purchased 30,000 kg of direct material at a total cost of $246,000. The total wages for December were $260,000, 75% of which were for direct labor. The Company manufactured 9,500 units of product during December 2020, using 28,400 kg of the direct material purchased in December and 18,900 direct-labor hours. Actual variable and fixed overhead cost were $200,000 and $150,000, respectively. The scheduled production for the month was 10,000 units. Results from sales of the product is as follows: Units Sold (in units) Sales Variable Cost Contribution Margin Budgeted 9,000 Actual 10,000 $ 990,000 $ 1,050,000 $ 675,000 $ 315,000 $ 750,000 $ 300,000 Market size (in units) 42,000 40,000