Sedona Company set the following standard costs for one unit of its product for 2017.

Direct material (15 Ibs. @ $3.40 per Ib.) $ 51.00 Direct labor (10 hrs. @ $9.70 per hr.) 97.00 Factory variable overhead (10 hrs. @ $4.90 per hr.) 49.00 Factory fixed overhead (10 hrs. @ $2.00 per hr.) 20.00 Standard cost $ 217.00

The $6.90 ($4.90 + $2.00) total overhead rate per direct labor hour is based on an expected operating level equal to 70% of the factory's capacity of 59,000 units per month. The following monthly flexible budget information is also available.

Operating Levels (% of capacity) Flexible Budget 65% 70% 75% Budgeted output (units) 38,350 41,300 44,250 Budgeted labor (standard hours) 383,500 413,000 442,500 Budgeted overhead (dollars) Variable overhead $ 1,879,150 $ 2,023,700 $ 2,168,250 Fixed overhead 826,000 826,000 826,000 Total overhead $ 2,705,150 $ 2,849,700 $ 2,994,250

During the current month, the company operated at 65% of capacity, employees worked 365,000 hours, and the following actual overhead costs were incurred.

Variable overhead costs $ 1,816,000 Fixed overhead costs 899,050 Total overhead costs $ 2,715,050 AH = Actual Hours SH = Standard Hours AVR = Actual Variable Rate SVR = Standard Variable Rate SFR = Standard Fixed Rate