Direct materials (4.0 lbs. $5.00 per tb.) Direct labor (1.9 hrs. $12.00 per hr.) Overhead (1.9 hrs. $18.50 per hr.) Total standard cost $20.00 22.90 35.15 $77.95 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 75% Capacity) Variable overhead conta Indirect materials $ 15,000 Indirect labor 75,000 Pover 15,000 Repairs and maintenance 30,000 Total variable overhead costs Fixed overhead costs Depreciation-Building 24,000 Depreciation Machinery 71,000 Taxes and insurance 18,000 Supervision 279,250 Total Fixed overhead costa Total overhead coats $135,000 392,250 $527,250 The company incurred the following actual costs when it operated at 75% of capacity in October s 314,600 260,400 Direct materials (60,500 Ibo.& $5.20 per 1b.) Direct labor (21,000 hrs. + $12.40 per hr.) Overhead costs Indirect materials Indirect labor Power Repairs and maintenance Depreciation-building Depreciation Machinery $ 41,800 176,800 17,250 34,500 24,000 95,850 S 0 per lb.) per hr.) $ 314,600 260,400 $ 41,800 176,800 17,250 34,500 24,000 95,850 16,200 279, 250 685,650 $1,260,650 including its price and quantity variances. (Indicate the effect of each rable, and No variance.) Standard Cost 0 $ 0 S 0 $ 0 0