Hals Heating produces furnaces for commercial buildings. The companys master budget shows the following standards information.

Expected production for January:	300 furnaces
Direct materials	3 heating elements at $40 per element
Direct labor	35 hours per furnace at $18 per hour
Variable manufacturing overhead	35 direct labor hours per furnace at $15 per hour

Calculate the standard cost per unit for direct materials, direct labor, and variable manufacturing overhead.

Assume Hals Heating produced 320 furnaces during January. Prepare a flexible budget for direct materials, direct labor, and variable manufacturing overhead.