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[The following information applies to the questions displayed below.] Antuan Company set the following standard costs per unit for its product.

Direct materials (4.0 pounds @ $6.00 per pound)	$ 24.00
Direct labor (1.8 hours @ $11.00 per hour)	19.80
Overhead (1.8 hours @ $18.50 per hour)	33.30
Standard cost per unit	$ 77.10

The standard overhead rate ($18.50 per direct labor hour) is based on a predicted activity level of 75% of the factorys capacity of 20,000 units per month. Following are the companys budgeted overhead costs per month at the 75% capacity level.

Overhead Budget (75% Capacity)
Variable overhead costs
Indirect materials	$ 30,000
Indirect labor	75,000
Power	30,000
Maintenance	30,000
Total variable overhead costs	165,000
Fixed overhead costs
DepreciationBuilding	23,000
DepreciationMachinery	70,000
Taxes and insurance	17,000
Supervisory salaries	224,500
Total fixed overhead costs	334,500
Total overhead costs	$ 499,500

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

Direct materials (61,000 pounds @ $6.10 per pound)		$ 372,100
Direct labor (22,000 hours @ $11.40 per hour)		250,800
Overhead costs
Indirect materials	$ 41,900
Indirect labor	176,450
Power	34,500
Maintenance	34,500
DepreciationBuilding	23,000
DepreciationMachinery	94,500
Taxes and insurance	15,300
Supervisory salaries	224,500	644,650
Total costs		$ 1,267,550

4. Prepare a detailed overhead variance report that shows the variances for individual items of overhead. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.)

ANTUAN COMPANY
Overhead Variance Report
For Month Ended October 31
Expected production volume	75% of capacityselected answer correct
Production level achieved	75% of capacityselected answer correct
Volume Variance	No varianceselected answer correct
	Flexible Budget	Actual Results	Variances	Favorable/Unfavorable
Variable overhead costs
Indirect materialsselected answer correct	not attempted	not attempted	not attempted	Unfavorableselected answer correct
Indirect laborselected answer correct	not attempted	not attempted	not attempted	Unfavorableselected answer correct
Powerselected answer correct	not attempted	not attempted	not attempted	Unfavorableselected answer correct
Maintenanceselected answer correct	not attempted	not attempted	not attempted	Unfavorableselected answer correct
not attempted	not attempted	not attempted	not attempted	not attempted
Total variable overhead costsselected answer correct			not attempted	Unfavorableselected answer correct
Fixed overhead costs
DepreciationBuildingselected answer correct	not attempted	not attempted	not attempted	Unfavorableselected answer incorrect
DepreciationMachineryselected answer correct	not attempted	not attempted	not attempted	Unfavorableselected answer correct
Taxes and insuranceselected answer correct	not attempted	not attempted	not attempted	Favorableselected answer correct
Supervisory salariesselected answer correct	not attempted	not attempted	not attempted	Unfavorableselected answer correct
not attempted	not attempted	not attempted	not attempted	not attempted
Total fixed overhead costsselected answer correct			not attempted	Unfavorableselected answer correct
Total overhead costs	not attempted	not attempted	not attempted	Unfavorableselected answer correct
Volume Variance
Budgeted (flexible) overheadselected answer correct			not attempted
Standard overhead appliedselected answer correct			not attempted
Volume variance			$0	Unfavorableselected answer incorrect
Total overhead variance			not attempted	Unfavorableselected answer correct