Antuan Company set the following standard costs per unit for its product. Direct materials (3.0 pounds @ $5.00 per pound) Direct labor (2.0 hours @ $14.00 per hour) Overhead (2.0 hours @ $18.50 per hour) Standard cost per unit $ 15.00 28.00 37.00 $ 80.00 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 Power $ 15,000 75,000 15,000 Maintenance 30,000 Total variable overhead costs 135,000 Fixed overhead costs. 25,000 71,000 17,000 307,000 420,000 Depreciation-Building Depreciation-Machinery Taxes and insurance Supervisory salaries Total fixed overhead costs Total overhead costs $ 555,000 The company incurred the following actual costs when it operated at 75% of capacity in October. Direct materials (45,500 pounds @ $5.10 per pound) Direct labor (22,000 hours @ $14.20 per hour) Overhead costs. Indirect materials $ 41,100 $ 232,050 312,400