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! 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 @ $5.00 per pound) Direct labor (1.9 hours @ $10.00 per hour) Overhead (1.9 hours @ $18.50 per hour) Standard cost per unit $ 20.00 19.00 35.15 $ 74.15 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. $ 15,000 75,000 15,000 30,000 135,000 Overhead Budget (75% Capacity) Variable overhead costs Indirect materials Indirect labor Power Maintenance Total variable overhead costs Fixed overhead costs Depreciation-Building Depreciation-Machinery Taxes and insurance Supervisory salaries Total fixed overhead costs Total overhead costs 25,000 72,000 18,000 277.250 392,250 $ 527,250 The company incurred the following actual costs when it operated at 75% of capacity in October. $ 317,200 214,200 Direct materials (61,000 pounds @ $5.20 per pound) Direct labor (21,000 hours @ $10.20 per hour) Overhead costs Indirect materials Indirect labor Power Maintenance Depreciation-Building Depreciation-Machinery Taxes and insurance Supervisory salaries Total costs $ 41,050 176, 350 17,250 34,500 25,000 97,200 16,200 277,250 684,800 $ 1,216,200 2. Compute the direct materials variance, including its price and quantity variances. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) X Actual Cost Actual quantity X 46,500 $195,300 Actual price 4.20 Actual quantity 46,500 Standard price $ 4.00 Standard Cost Standard quantity 45,000 $180,000 Standard price 4.00 $ X $186,000 $ 9,300 $ 6,000 Direct materials price variance $ Unfavorable 9,300 6,000 15,300 Direct materials quantity variance Direct materials variance Unfavorable $ Unfavorable 3. Compute the direct labor variance, including its rate and efficiency variances. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance. Round "Rate per hour" answers to two decimal places.) Actual Cost Standard Cost Actual hours Actual rate Actual hours Standard rate Standard hours Standard rate 30.500 S 17.25 30,500 $ 17.00 30,000 X $ 17.00 $ 526,125 $518,500 $ 510,000 $ 7,625 $ 8,500 $ Direct labor rate variance Direct labor efficiency variance Direct labor variance 7,625 8,500 16,125 Unfavorable Unfavorable Unfavorable $