Antuan Company set the following standard costs for one unit of its product. Direct materials (6 Ibs. @$5 per lb.) Direct labor (2 hrs. $17 per hr.) Overhead (2 hrs.@ $18.50 per hr.) 30 34 37 Total stanclard cost 101 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% level. Overhead Budget (75% Capacity) Variable overhead costs $45,000 180,000 45,000 90,000 Indirect materials Indirect labor Power Repairs and maintenance Total variable overhead costs $360,000 Fixed overhead costs Depreciation-building Depreciation-machinery Taxes and insurance Supervision 24,000 80,000 2,000 79,000 Total fixed overhead costs 195,000 Total overhead costs $555,000 The company incurred the following actual costs when it operated at 75% of capacity in October Direct materials (91,000 lbs. @$5.10 per lb.) Direct labor (30,500 hrs.@ $17.25 per hr.) Overhead costs $464,100 526,125 Indirect materials Indirect labor Power Repairs and maintenance Depreciation-building Depreciation-machinery Taxes and insurance Supervision $44.250 177,750 43,000 96,000 24,000 75,000 11,500 89,000 560,500 Total costs 1,550,725