Required information Problem 08-3A Flexible budget preparation; computation of materials, labor, and overhead variances; and overhead variance report LO P1, P2, P3, P4 [The following information applies to the questions displayed below.) Antuan Company set the following standard costs for one unit of its product. Direct materials (4.0 Ibs. $5.00 per Ib.) Direct labor (1.8 hrs. e $10.00 per hr.) Overhead (1.8 hrs. e $18.50 per hr.) $20.00 18.00 33.30 $71.30 Total standard cost The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volume of 75% of the factory's capacity of 20,000 units per month. Following are the company's budgeted overhead costs per month at the 75% capacity level. Overhead budget (751 Capacity) Variable overhead costs Indirect materials $ 15,000 75,000 Indirect labor 15,000 30,000 $135,000 Power Repairs and maintenance Total variable overhead costs Fixed overhead costs Depreciation-Building Depreciation-Machinery Taxes and insurance Supervision Total fixed overhead costs 25,000 70,000 18,000 251,500 364,500 $499,500 Total overhead coats The company incurred the following actual costs when it operated at 75% of capacity in October The company incurred the following actual costs when it operated at 75% of capacity in October 5 Direct materials (60,500 lbs. + $5.20 per 1b.) Direct labor (19,000 hrs. $10.40 per hr.) 314,600 197.600 Overhead costa Indirect materials Indirect labor Power Repairs and maintenance Depreciation-Building Depreciation-Machinery Taxes and insurance Supervision $41,200 176,550 17.250 34,500 25,000 94,500 16,200 251,500 656,700 $1,168,900 Total conta Problem 08-3A Part 5 5. Prepare a detailed overhead variance report that shows the variances for individual items of overhead, (Indicate the effect of each variance by selecting for favorable, unfavorable, and No variance.) ANTUAN COMPANY Overhead Variance Report For Month Ended October 31 Expected production volume Production level achieved Volume variance Variances Flexible Budget Actual Results Fav. / Unfav. Variable costs Minyt 5. Prepare a detailed overhead variance report that shows the variances for individual items of overhead. (Indicate the effect of each variance by selecting for favorable, unfavorable, and No variance.) ANTUAN COMPANY Overhead Variance Report For Month Ended October 31 Expected production volume Production level achieved Volume variance Variances Fav. / Unfav. Flexible Budget Actual Results Variable costs Fixed costs Total overhead costs