Required Information [The following information applies to the questions displayed below.] Antuon Company set the following standard costs for one unit of its product. Direct materials (5.2 Ibs. @ $6.82 per Ib.) Direct labor (1.7 hrs. $12.ee per hr.) Overhead (1.7 hrs. @ $18.5e per hr.) Total standard cost $38.00 28.48 31.45 $81.85 The predetermined overhead rote ($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 (75% Capacity) Variable overhead costs Indirect materials $ 15,000 Indirect labor 90.000 Power 15.00 Repairs and maintenance 30,00 Total variable overhead costs Fixed overhead costs Depreciation Building 24,202 Depreciation Machinery 70,000 Taxes and insurance 18,000 Supervision 209.750 Total fixed overhead costs Total overhead costs $15e,eee 321,750 $471,758 The company incurred the following actual costs when it operated at 75% of capacity in October $ 474,320 231,800 Direct materials (76,500 lbs. @ $6.20 per 1b.) Direct labor (19,620 hrs. @ $12.20 per hr.) Overhead costs Indirect materials Indirect labor Power Repairs and maintenance Depreciation-Building Depreciation Machinery Taxes and insurance Supervision Total costs $ 41,650 176,150 17.250 34,5ea 24.ee 94,500 16,209 209,75a 614,00 $1,320,100 Required: 1&2. Prepare flexible overhead budgets for October showing the amounts of each variable and fixed cost at the 65%, 75%, and 35% capacity levels and classify all items listed in the fixed budget os variable or fixed. Required Information [The following information applies to the questions displayed below.] Antuon Company set the following standerd costs for one unit of its product. Direct materials (5.2 Ibs. @ $6.62 per Ib.) Direct labor (1.7 hrs. @ $12.ee per hr.) Overhead (1.7 hrs. $18.50 per hr.) Total standard cost $38. 28.40 31.45 $81.85 The predetermined overhead rete ($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 (75% Capacity) Variable overhead costs Indirect materials $ 15,000 Indirect labor 90.200 Power 15,000 Repairs and maintenance 30. Bee Total variable overhead costs Fixed overhead costs Depreciation Building 24,000 Depreciation Machinery 70,000 Taxes and insurance 18,000 Supervision 289,750 Total fixed overhead costs Total overhead costs $150.00 321,750 $471,758 The company incurred the following actual costs when it operated at 75% of capacity in October. $ 474,300 231,820 Direct materials (76,500 Ibs. $6.20 per lb.) Direct labor (19,62e hrs. @ $12.20 per hr.) Overhead costs Indirect at als Indirect labor Power Repairs and maintenance Depreciation-Building Depreciation Machinery Taxes and insurance Supervision Total costs $ 41,650 176,150 17.25e 34,500 24,000 94.5e 16,200 209.750 614,90 $1,320, 120 3. Compute the direct materials cost vorience, including its price and quantity variences. (Indicate the effect of each variance by selecting for favorable, unfavorable, and No variance.) Actual Cost Standard Cost Required Information [The following information applies to the questions displayed below.] Antuon Company set the following standard costs for one unit of its product. Direct materials (5.0 Ibs. 36.00 per Ib.) Direct labor (1.7 hrs. @ $12.00 per hr.) Overhead (1.7 hrs. $13.5e per hr.) Total standard cost $30.00 20.40 31.45 $81.85 The predetermined overheed 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 (75% Capacity) Variable overhead costs Indirect materials $ 15,eee Indirect labor 90,000 Power 15,000 Repairs and maintenance 30.ee Total variable overhead costs Fixed overhead costs Depreciation-Building 24.ee Depreciation Machinery 70.00 Taxes and insurance 18,00 Supervision 209.750 Total fixed overhead costs Total overhead costs $150, eee 321,750 $471,750 The company incurred the following actual costs when it operated at 75% of capacity in October. $ 474,300 231,800 Direct materials (76,500 lbs. $6.20 per lb.) Direct labor (19,028 hrs. $12.20 per hr.) Overhead costs Indirect materials Indirect labor Power Repairs and maintenance Depreciation-Building Depreciation Machinery Taxes and insurance Supervision Total costs $ 41,650 176,150 17,250 34,50 24.ee 94.50 16,200 289,758 614,220 $1,320, 120 4. Compute the direct labor cost variance, including its rate and efficiency variances. (Indicate the effect of each varlance by selecting for favorable, unfavorable, and No variance. Round "Rate per hour" answers to two decimal places.) Actual Cost Standard Coat Direct materials (5.0 lbs. $6.00 per Ib.) Direct labor (1.7 hrs. @ $12.2e per hr.) Overhead (1.7 hrs. $18.50 per hr.) Total standardost $38. 20.40 31.45 $81.85 The predetermined overhead rete ($18.50 per direct labor hour) is based on an expected volume of 75% of the foctory'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 90,22 Power 15,00 Repairs and maintenance 30.000 Total variable overhead costs Fixed overhead costs Depreciation-Building 24.ee Depreciation Machinery 70,000 Taxes and insurance 18,000 Supervision 209.750 Total fixed overhead costs Total overhead costs $15e,ese 321,75e $471,750 The company incurred the following actual costs when it operated at 75% of capacity in October $ 474,300 231,800 Direct materials (76,500 lbs. $6.20 per lb.) Direct labor (19,620 hrs. $12.2e per hr.) Overhead costs Indirect materials Indirect labor Power Repairs and maintenance Depreciation Building Depreciation Machinery Taxes and insurance Supervision Total costs $ 41,650 176,150 17.250 34,500 24.ee 94,500 16,200 289,75e 614,00 $1,320, 120 5. Prepare a detailed overhead variance report that shows the variances for individual items of overhead. (Indicate the effect of each varlance by selecting for favorable, unfavorable, and No variance.) ANTUAN COMPANY Overhead Variance Report For Month Ended October 31 Expected production valume Production level achieved Volume variance Flexible Budget Actual Results Variances Fav./Unfav. Variable costs Fixed cost Total overhead costs