Antuan Company set the following standard costs for one unit of its product. Direct materials (6.0 Tbw $4.00 per tb.) Direct labor (1.8 hrs. $12.00 per hr.) Overhead (1.8 hrs. $18.50 per hr.) Total standard cost $16.00 21.60 33.30 570.90 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 (758 Capacity) Variable overhead coats Indirect materials $ 15,000 Indirect labor 75,000 Power 15,000 Repairs and maintenance 30,000 Total variable overhead conta Pixed overhead coats Depreciation-thuilding 23,000 Depreciation Machinery 72,000 Taxes and indrance 17,000 Supervision 252.500 Total fixed overhead coats Total overhead coats $135,000 364,500 8699.500 The company incurred the following actual costs when it operated at 75% of capacity in October Direct materials (60.500 The 56.10 per $ 1b.) 248,050 297,600 $12.40 per hr.) Direct labor (24,000 hrs. Overhead coats Indirect materials Indirect labor $41,750 176.550 17.250 Repairs and maintenance Direct materials (60,500 Tbs. $4.10 per 16.) $ 248,050 297,600 $12.40 per hr.) Direct labor (24,000 hrs. Overhead costs Trdirect materials Indirect labor Pover Repairs and maintenance Depreciation Building Depreciation-Machinery Taxes and insurance Supervision Total costs $ 41,750 176,550 17,250 14.500 23,000 97,200 15,300 252,500 658,050 $1,203,700 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 Actual Cost Standard Cost Power Repairs and maintenance Depreciation-Building Depreciation Machinery Taxes and insurance Supervision Total costs 17,250 34,500 23,000 97,200 15,300 252,500 658,050 $1,203,700 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 Actual Cost Standard Cost