Antuan Company set the following standard costs per unit for its product. Direct materials (3.0 pounds @ $5.00 per pound) Direct labor (1.7 hours @ $14.00 per hour) Overhead (1.7 hours @ $18.50 per hour) Standard cost per unit $ 15.00 23.80 31.45 $ 70.25 The standard overhead rate ($18.50 per direct labor hour) is based on a predicted activity level 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 Indirect labor $ 15,000 75,000 Power 15,000 Maintenance 30,000 Total variable overhead costs 135,000 Fixed overhead costs Depreciation-Building Depreciation-Machinery Taxes and insurance Supervisory salaries Total fixed overhead costs Total overhead costs 23,000 71,000 18,000 224,750 336,750 $ 471,750 The company incurred the following actual costs when it operated at 75% of capacity in October. Direct materials (46,000 pounds @ $5.10 per pound) Direct labor (20,000 hours @ $14.10 per hour) Overhead costs Indirect materials Indirect labor Power Maintenance Depreciation-Building Depreciation-Machinery Taxes and insurance Supervisory salaries Total costs $ 41,650 176,100 17,250 34,500 23,000 95,850 16,200 224,750 $ 234,600 282,000 629,300 $ 1,145,900 Required: 1. Prepare flexible overhead budgets for October showing amounts of each variable and fixed cost at the 65%, 75%, and 85% capacity levels. ANTUAN COMPANY Flexible Budget at Capacity Level of Flexible Overhead Budgets For Month Ended October 31 Variable Amount Total Fixed per Unit Cost 65% Production (in units) Variable overhead costs Indirect materials Indirect labor Power Maintenance 75% 85% $ 0.00 $ 0 $ 0 $ 0 Fixed overhead costs $ EA Total overhead costs EA 0 $ 0 $ 0 $ 0