Antuan Company set the following standard costs for one unit of its product. Direct materials (5.0 Ibs. @ $5.00 per Ib.) Direct labor (1.6 hrs. @ $10.00 per hr.) 16.00 Overhead (1.6 hrs. @ $18.50 per hr.) 29.60 Total standard cost $79.60 The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volu capacity of 20,000 units per month. Following are the company's budgeted overhead costs pe level. Overhead Budget (75% Capacity) Variable overhead costs Indirect materials $ 15,000 Indirect labor 75,000 Power 15,800 Repairs and maintenance 30,000 Total variable overhead costs $135, eee Fixed overhead costs Depreciation-Building 25,000 Depreciation-Machinery 71, eee Taxes and insurance 17,000 Supervision 196, eee Total fixed overhead costs 309,00 Total overhead costs $444,000 of 4 Overhead Budget (75% Capacity) Variable overhead costs Indirect materials $ 15,800 Indirect labor 75,000 Power 15,000 Repairs and maintenance 3e,eee Total variable overhead costs Fixed overhead costs Depreciation Building 25,000 Depreciation Machinery 71,000 Taxes and insurance 17,000 Supervision 196,000 Total fixed overhead costs Total overhead costs $135,000 Book 399,000 $444,000 The company incurred the following actual costs when it operated at 75% of capacity in October $ 397,800 286,000 Direct materials (76,500 lbs. @ $5.20 per lb.) Direct labor (20,000 hrs. @ $10.30 per hr.) Overhead costs Indirect materials Indirect labor Power Repairs and maintenance Depreciation Building Depreciation Machinery Taxes and insurance Supervision Total costs $ 41,900 176,90 17,250 34,500 25,888 95,850 15,300 196,099 602,700 $1,286,500