Direct Materials, Direct Labor, and Factory overhead Cost Variance Analysis l into plastic. Standard costs and actual costs for direct materials, direct labor, and factory overhead incurred for the manufacture of 7,200 units of product were as follows: Standard Costs Actual Costs Direct materials 9,400 lb. at $5.70 Direct labor Factory overhead Rates per direct labor hr. 9,300 lb. at $5.50 1,800 hrs. at $18.20 1,840 hrs. at $18.40 based on 100% of normal capacity of 1,880 direct labor hrs.: Variable cost, $3.50 $6,240 variable cost Fixed cost, $5.50 $10,340 fixed cost Each unit requires 0.25 hour of direct labor