eBook Print Item Direct Materials, Direct Labor, and Factory Overhead Cost Variance Analysis Mackinaw Inc. processes a base chemical into plastic. Standard costs and actual costs for direct materials, direct labor, and factory overhead incurred for the manufacture of 78,000 units of product were as follows: Standard Costs Actual Costs Direct materials Direct labor Factory overhead 249,600 lbs, at $5.50 19,500 hrs. at $18.30 Rates per direct labor hr., based on 100% of normal 247,100 lbs. at $5.30 19,950 hrs. at $18.60 capacity of 20,350 direct labor hrs.: Variable cost, $3.20 $61,780 variable cost Fixed cost, $5.10 $103,785 fixed cost Each unit requires 0.25 hour of direct labor. Required: I