Antuan Company set the following standard costs for one unit of its product. Direct materials (4.0 lbs. @ $6.00 per lb.24.00 Direct labor (2.0 hrs. $10.00 per hr. Overhead (2.0 hrs.@ $18.50 per hr.) 20.00 37.00 $81.00 Total standard cost The predetermined overhead rate (S18.50 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 15,000 75,000 Indirect materials www.rrre Indirect labor 15,000 000 E135,000 Power Repairs and maintenance Total variable overhead costs Fixed overhead costs 24,000 72,000 17,000 307.000 Depreciation-Building Depreciation Machinery Taxes and insurance Supervision 420.000 Total fixed overhead costs $555,000 Total overhead costs The company incurred the following actual costs when it operated at 75 % of capacity in October. Direct materials (61,500 lbs. @ S6.20 per lb. Direct labor (22,000 hrs.@ $10.40 per hr.) Overhead costs 381,300 228,800 41,550 176,350 17,250 34.500 24,000 97,200 15,300 $307,000 Indirect materials Indirect labor Power Repairs and maintenance Depreciation Building Depreciation-Machinery Taxes and insurance Supervision 713,150 $1,323,250 Total costs 3. Compute the direct materials cost variance, including its price and quantity variances. AQ Actual Quantity SQ Standard Quantity AP Actual Price SP Standard Price 4. Compute the direct labor cost variance, including its rate and efficiency variances. AH Actual Hours SH Standard Hours AR Actual Rate SR Standard Rate 5. Prepare a detailed overhead variance report that shows the variances for individual items of overhead. ANTUAN COMPANY Overhead Variance Report For Month Ended October 31 Expected production volume Production level achieved Volume variance Flexible Budget Actual Results Fav. IUnfav Variances Variable costs Indirect materialis Indirect labor Power Repairs and mantenance Total vanable costs Fired cosss Depreciaion-Building Depreciasion-Machinery Taxes and insurance Supervision Total fored costs Total overhead costs