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 Direot materials (4.0 Ibs. $5.00 per Ib.) Direct labor (1.8 hrs. $10.00 per hr.) Overhead (1.8 hrs. 8 $18.50 per hr.) $20.00 18.00 33.30 Total standard cost $71.30 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 (758 Capacity) Variable overhead costs Indirect materials $ 15,000 Indirect labor 75,000 Power 15,000 30.000 $135,000 Repairs and maintenance Total variable overhead couts Fixed overhead conte Depreciation-Building Depreciation-Machinery Taxes and insurance Supervision 25,000 70,000 18,000 251.500 Total fixed overhead costs 364.500 $ 499,500 Total overhead coats The company incurred the following actual costs when it operated at 75% of capacity in October Direct materials (60,500 lbs. $5.20 per lb.) Direct labor (19,000 hrs. e $10.40 per hr.) 314,600 197,600 die vork Chapter 8 5 Direct materials 160,500 65.20 per 16.) Direct labor (19.000 s. 510.40 per h) Overhead conta 5 316,600 197,600 Indirect materials Indirect Labor 14 YE Hepair and maintenance Depreciation-Buildi Depreciation Machinery Tax and mance Supervision Total cost 341,200 176,550 17.250 34,500 25.000 94,500 16.200 351.500 656200 51.168.900 Problem 08-3A Part 4 4. Compute the direct labor cost variance, including its rate and efficiency variances, (Indicate the effect of each variance by selecting for favorable, unfavorable, and No variance. Round "Rate per hour answers to two decimal places.) ces Standard Cost Actual Cost Actual hours $ 0 $ 0 $