Packaging Solutions Corporation manufactures and sells a wide variety of packaging products. Performance reports are prepared monthly for each department. The planning budget and flexible budget for the Production Department are based on the following formulas, where q is the number of labor-hours worked in a month: Direct labor $16.40 4,300 1.80 Indirect labor 5,700 0.40a Utilities 1,700 0.30a Supplies $18,700 2.70a Equipment depreciation Factory rent $8,500 $2,700 Property taxes $13,600 0.80 Factory administration The actual costs incurred in March in the Production Department are listed below Actual Cost Incurred in March Direct labor 68,840 Indirect labor 11,220 7,810 Utilities 3,200 Supplies 29,770 Equipment depreciation 8,900 Factory rent 2,700 Property taxes 16,270 Factory administration