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Problem $21-3$A $($Algo$)$ Flexible overhead budget; materials, labor, and overhead variances; and overhead variance report LO P$1,$ P$2,$ P$3,$ P$4$

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Antuan Company set the following standard costs per unit for its product.

Direct materials $(5\mathrm{.}0$ pounds @ $$4\mathrm{.}00$ per pound$)$ $ $20\mathrm{.}00$

Direct labor $(1\mathrm{.}8$ hours @ $$13\mathrm{.}00$ per hour$)23\mathrm{.}40$

Overhead $(1\mathrm{.}8$ hours @ $$18\mathrm{.}50$ per hour$)33\mathrm{.}30$

Standard cost per unit $ $76\mathrm{.}70$

The standard overhead rate $($$$18\mathrm{.}50$ per direct labor hour$)$ is based on a predicted activity level of $75\%$ of the factory$$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 $(75\%$ Capacity$)$

Variable overhead costs

Indirect materials $ $15,000$

Indirect labor $75,000$

Power $15,000$

Maintenance $30,000$

Total variable overhead costs $135,000$

Fixed overhead costs

Depreciation$$Building $24,000$

Depreciation$$Machinery $70,000$

Taxes and insurance $17,000$

Supervisory salaries $253,500$

Total fixed overhead costs $364,500$

Total overhead costs $ $499,500$

The company incurred the following actual costs when it operated at $75\%$ of capacity in October.

Direct materials $(76,000$ pounds @ $$4\mathrm{.}20$ per pound$)$ $ $319,200$

Direct labor $(21,000$ hours @ $$13\mathrm{.}10$ per hour$)275,100$

Overhead costs

Indirect materials $ $41,050$

Indirect labor $176,800$

Power $17,250$

Maintenance $34,500$

Depreciation$$Building $24,000$

Depreciation$$Machinery $94,500$

Taxes and insurance $15,300$

Supervisory salaries $253,500656,900$

Total costs $ $1,251,200$

Problem $21-3$A $($Algo$)$ Part $3$

$3.$ Compute the direct labor variance, including its rate and efficiency variances. $($Indicate the effect of each variance by selecting favorable, unfavorable, or no variance. Round "Rate per hour" answers to two decimal places.$)$