Antuan Company set the following standard costs for one unit of its product. Direct materials (4.0 Ibs. @ $5.00 per Ib.) Direct labor (2.0 hrs. @ $12.00 per hr.) Overhead (2.0 hrs. @ $18.50 per hr.) Total standard cost $20.00 24.00 37.00 $81.00 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 75,000 Power 15,000 Repairs and maintenance 30.000 Total variable overhead costs Fixed overhead costs Depreciation-Building 23,000 Depreciation-Machinery 72,000 Taxes and insurance 17.000 Supervision 308,000 $135,000 LAGU VERTICULUSLS Depreciation-Building Depreciation-Machinery Taxes and insurance 23,000 72,000 17,000 308,000 Total fixed overhead costs Total overhead costs 420,000 $555,000 The company incurred the following actual costs when it operated at 75% of capacity in October Direct materials (61,000 Ibs. @ $5.10 per lb.) $ 311,100 278,300 Overhead costs Indirect materials Indirect labor Power Repairs and maintenance Depreciation-Building Depreciation-Machinery Taxes and insurance Supervision Total costs $ 41,050 176, 150 17,250 34,500 23,000 97,200 15,300 308,000 712,450 $1,301,850 5. Prepare a detailed overhead variance report that shows the variances for individual items of overhead. (Indicate the effect of each variance by selecting for favorable, unfavorable, and No variance.) ANTUAN COMPANY Overhead Variance Report For Month Ended October 31 Expected production volume Production level achieved Volume variance Flexible Budget Actual Results Variances Fav. / Unfav. Variable costs Fixed costs Flexible Budget Actual Results Variances Fav. / Unfav. Variable costs Fixed costs TTTT Total overhead costs