[The following information applies to the questions displayed below.] Antuan Company set the following standard costs for one unit of its product.

Direct materials (4.0 Ibs. @ $4.00 per Ib.)	$	16.00
Direct labor (1.9 hrs. @ $12.00 per hr.)		22.80
Overhead (1.9 hrs. @ $18.50 per hr.)		35.15
Total standard cost	$	73.95

The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volume of 75% of the factorys capacity of 20,000 units per month. Following are the companys budgeted overhead costs per month at the 75% capacity level.

Overhead Budget (75% Capacity)
Variable overhead costs
Indirect materials	$	15,000
Indirect labor		75,000
Power		15,000
Repairs and maintenance		30,000
Total variable overhead costs				$	135,000
Fixed overhead costs
DepreciationBuilding		25,000
DepreciationMachinery		72,000
Taxes and insurance		17,000
Supervision		278,250
Total fixed overhead costs					392,250
Total overhead costs				$	527,250

The company incurred the following actual costs when it operated at 75% of capacity in October.

Direct materials (61,500 Ibs. @ $4.20 per lb.)				$	258,300
Direct labor (19,000 hrs. @ $12.40 per hr.)					235,600
Overhead costs
Indirect materials	$	41,100
Indirect labor		176,350
Power		17,250
Repairs and maintenance		34,500
DepreciationBuilding		25,000
DepreciationMachinery		97,200
Taxes and insurance		15,300
Supervision		278,250			684,950
Total costs				$	1,178,850

rev: 03_28_2018_QC_CS-122864

3. Compute the direct materials cost variance, including its price and quantity variances. AQ = Actual Quantity SQ = Standard Quantity AP = Actual Price SP = Standard Price

Actual Cost			0				0	Standard Cost
		0
			$0	0			$0
				$0
				0

Compute the direct labor cost variance, including its rate and efficiency variances. AH = Actual Hours SH = Standard Hours AR = Actual Rate SR = Standard Rate

Actual Cost			0				0	Standard Cost
			$0	0			$0
				$0
				0

ANTUAN COMPANYOverhead Variance ReportFor Month Ended October 31Expected production volumeProduction level achievedVolume varianceFlexible BudgetActual ResultsVariancesFav. / Unfav.Variable costsFixed costsTotal overhead costs