Required information {The foiiowing Information appiies to the questions displayed below] Antuan Company set the following standard costs per unit for its product. Direct materials [3.6 pounds @ $4.66 per pound) $ 12.66 Direct labor (1.8 hours @ $13.66 per hour) 23.46 Overhead {1.8 hours @ $18.56 per hour) 33.36 Standard cost per unit $ 63.?6 The standard overhead rate ($18.50 per direct labor hour} is based on a predicted activity level of 75% ofthe factorv's capacity of 20,000 units per month. Following are the company's budgeted overhead costs per month at the 35% ca pacitv level. Overhead Budget {?5% Capacity) Variable overhead costs Indirect materials 5 15,666 Indirect labor F5,666 Power 15,666 Maintenance 39,399 Total variable overhead costs 135,666 Fixed overhead costs DepreciationBuilding 24,666 DepreciationMachinery F6,666 Taxes and insurance 13,666 Supervisory salaries 253,566 Total fixed overhead costs 364.566 .u ...... Jug... Maintenance 36,666 Total variable overhead costs 135,666 Fixed overhead costs DepreciationBuilding 24,666 DepreciationMachinery ?6,666 Taxes and insurance 1?,666 Supervisory salaries 253,566 Total fixed overhead costs 364,566 Total overhead costs $ 499:599 The company incurred the following actual costs when it operated at 75% of capacity in October. Direct materials (45,566 pounds @ $4.16 per pound} $ 186,556 Direct labor (22,666 hours @ $13.26 per hour) 296,466 Overhead costs Indirect materials $ 41,566 Indirect labor 1?6,?66 Power 17,256 Maintenance 34,566 DepreciationBuilding 24,666 DepreciationMachinery 64,566 Taxes and insurance 15,366 Supervisory salaries 253,566 65?,356 Total costs $ 1,134J399 2. Compute the direct materials variance, including its price and quantity variances. (Indicate the effect of each variance by selecting 2. Compute the direct materials variance, including its price and quantity variances. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) Actual Cost Standard Actual quantity X Actual price Actual quantity X Standard price Standard quantity X 45,500 X 4.10 45,500 X $ 4.00 X $186,550 $ 182,000 $ 4,550 $ 0 Direct materials price variance $ 4.550 Direct materials quantity variance 0 Direct materials variance