Exercise 6-5 Marigold manufactures aluminum canoes. In planning for the coming year, CFO Alexis King is considering three different sales targets: 2,500 canoes, 3,000 canoes, and 3,500 canoes. Canoes sell for $800 each. The standard variable cost information for a canoe is as follows Direct mateials $303 Direct labor Variable overhead 170 35 Indirect material 30 60 $598 Utilities Indirect labor Total Annual fixed overhead cost is expected to be Maintenance 19,450 Depreciation 37,200 25,180 29,520 $111,350 Rent Total Alexis King chose to prepare a static budget based on sales of 3,000 canoes. Actual sales were 3,100 canoes at a price of $850 each. The company incurred the following costs for the year: Direct materia 913,300 Direct labor Variable overhead 398,000 Fixed overhead 499,300 119,150 $1,929,750 Total