Required Information 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 @ $4.00 per pound) 1 16.60 Direct labor (1.7 hours @ $11.60 per hour) 18.70 Overhead (1.7 hours ( $18.50 per hour) 31.45 Standard cost per unit $ 66.15 The standard overhead rate ($18.50 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 Indirect labor 75,609 Power 15, 080 Maintenance 30, 600 Total variable overhead costs 135, 090 Fixed overhead costs Depreciation-Building 24,063 Depreciation-Machinery 72,060 Taxes and insurance 17,060 Supervisory salaries 223, 750 Total fixed overhead costs 336, 750 Total overhead costs $ 471, 750 The company Incurred the following actual costs when it operated at 75% of capacity In October. Direct materials (61,808 pounds ( $4.20 per pound) $ 256, 200 Direct labor (20,600 hours @ $11.40 per hour) 228,603 Overhead costs Indirect materials $ 41, 483 Indirect labor 176, 856 Power 17, 250 Maintenance 34, 500 Depreciation-Building 24, 030 Depreciation-Machinery 97 , 260 Taxes and insurance 15, 360 Supervisory salaries 223, 750 630, 250 Total costs $ 1, 114, 450Required: 1. Prepare flexible overhead budgets for October showing amounts of each variable and fixed cost at the 65%, 75%, and 85% capacity levels. ANTUAN COMPANY Flexible Overhead Budgets For Month Ended October Variable Flexible Budget at Capacity Level of Total Fixed 31 Amount per Cost Unit 65%% 75% 85% Production (in units) Variable overhead costs 0.00 0 Fixed overhead costs 0 $ 0 $ Total overhead costs2. 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 Cost