Sedona Company set the following standard costs for one unit of its product for this year. Direct material (15 pounds @ $3.20 per pound) Direct labor (10 hours @ $7.00 per DLH) Variable overhead (10 hours @ $4.10 per DLH) Fixed overhead (10 hours @ $1.70 per DLH) Standard cost per unit $ 48.00 70.00 41.00 17.00 $ 176.00 The $5.80 ($4.10 + $1.70) total overhead rate per direct labor hour (DLH) is based on a predicted activity level of 35,700 units, which is 70% of the factory's capacity of 51,000 units per month. The following monthly flexible budget information is available. Flexible Budget Budgeted production (units) Budgeted direct labor (standard hours) Budgeted overhead Variable overhead Fixed overhead Total overhead Operating Levels (% of capacity) 65% 33,150 331,500 $ 1,359,150 606,900 $ 1,966,050 70% 35,700 357,000 $ 1,463,700 606,900 $ 2,070,600 75% 38,250 382,500 $ 1,568,250 606,900 $ 2,175,150 During the current month, the company operated at 65% of capacity, direct labor of 320,000 hours were used, and the following actual overhead costs were incurred. Actual variable overhead Actual fixed overhead Actual total overhead $ 1,325,000 649,650 $ 1,974,650