Martinez Company manufactures tablecloths. Sales have grown rapidly over the past 2 years. As a result, the president has installed a budgetary control system for 2022. The following data were used in developing the master manufacturing overhead budget for the Ironing Department, which is based on an activity index of direct labor hours. Rate per Direct Variable costs Labor Hour Annual Fixed Costs Indirect labor $0.40 Supervision $42,720 Indirect materials 0.52 Depreciation 18,360 Factory utilities 0.32 Insurance 16,800 Factory repairs 0.20 Rent 27,480 The master overhead budget was prepared in the expectation that 482,500 direct labor hours will be worked during the year. In June, 42,400 direct labor hours were worked. At that level of activity, actual costs were as shown below. Variable-per direct labor hour: indirect labor $0.42, indirect materials $0.50, factory utilities $0.35, and factory repairs $0.25.