Direct materials (4.0 Ibs. 55.00 per Ib.) Direct labor (1.8 hrs. 510.00 per hr.) Overhead (1.8 hrs. @ $18.58 per hr.) Total standard cost $20.00 18.00 33.30 $21.30 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 (95% Capacity) Variable overhead costs Indirect materials $ 15,000 Indirect labor 75,000 Power 15,000 Repairs and maintenance 30,000 Total variable overhead costs $135,000 Fixed overhead costs Depreciation-Building 24,000 Depreciation Machinery 71,000 Taxes and insurance 17,000 Supervision 252,500 Total Fixed overhead costs 364,500 Total overhead costs $499,500 The company incurred the following actual costs when it operated at 75% of capacity in October $319,00 218,400 Direct materials (61,500 lbs. 95.20 per 1b.) Direct labor (21,000 hrs. 510.40 per hr.) Overhead costs Indirect materials Indirect labor Power Repairs and waintenance Depreciation-Building Depreciation Machinery Taves and Insurance Supervision Total costs $ 41, 350 176,900 17.250 34.500 24.000 05.850 15,300 252,500 652.650 51,195,850 Required: 182. Prepare flexible overhead budgets for October showing the amounts of each variable and fixed cost at the 65%, 75%, and 85% capacity levels and classify all items listed in the fixed budget as variable or fixed Part 1 of 3 33 ANTUAN COMPANY Flexible Overhead Budgets For Month Ended October 31 Flexible Budget Flexible Budget for Variable Amount Total Fixed 55% of 75% of 85% of per Unit Cost capacity capacity capacity ebook Sales (in units) Variable overhead costs Indirect materials Indirect labor Power Repairs and maintenance 5 0.00 0 0 Total variable costs Fixed overhead costs Depreciation Building Depreciation Machinery Taxes and insurance Supervision 0 Total overhead costs