Antuan Company set the following standard costs for one unit of its product. Direct materials $20.00, Direct Labor $26.60

Antuan Company set the following standard costs for one unit of its product. Direct materials (4.2 Ibs. @ $5.ee per se sa Ib.) Direct labor (1.9 hrs. @ $14.ee per hr.) 26.60 Overhead (1.9 hrs. @ $18.50 per hr.) 35.15 Total standard cost $81.75 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 90,000 Power 15,000 Repairs and maintenance 30,000 Total variable overhead costs Fixed overhead costs Depreciation Building 25, eee Depreciation Machinery 70,000 Taxes and insurance 17,000 Supervision 265,250 Total fixed overhead costs Total overhead costs $150, eee 377,250 $527,250 ere to search The company incurred the following actual costs when it operated at 75% of capacity in October. Part 1 of 2 Gints eBook Direct materials (61,000 Ibs. @ $5.20 per lb.) $ 317,200 Direct labor (24,000 hrs. @ $14.20 per hr.) 340,800 Overhead costs Indirect materials $ 41,050 Indirect labor 176,850 Power 17,250 Repairs and maintenance 34,500 Depreciation-Building 25,000 Depreciation-Machinery 94,500 Taxes and insurance 15,300 Supervision 265, 250 669, 700 Total costs $1,327,700 References 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 265,250 Supervision Total costs 669,700 $1,327,700 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 here to search