Antuan Company set the following standard costs per unit for its product. Direct materials (3.0 pounds @ $5.00 per pound) Direct labor (1.9 hours $12.00 per hour) Overhead (1.9 hours $18.50 per hour) Standard cost per unit $ 15.00 22.80 35.15 $ 72.95 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 24,000 Depreciation-Machinery 72,000 Taxes and insurance 17,000 Supervisory salaries 279,250 Total fixed overhead costs 392,250 Total overhead costs $ 527,250 The company incurred the following actual costs when it operated at 75% of capacity in October. Direct materials (45,500 pounds $5.20 per pound) Direct labor (21,000 hours $12.20 per hour) Overhead costs Indirect materials Indirect labor Power Maintenance Depreciation-Building Depreciation-Machinery Taxes and insurance Supervisory salaries. Total costs $236,600 256,200 $ 41,650 176,150 17,250 34,500 24,000 97,200 15,300 279,250 685,300 $ 1,178,100