I am not sure how to answer three. please provide explanation

Packaging Solutions Corporation manufactures and sells a wide variety of packaging products Performance reports are prepared monthly for each department. The planning budget and flexible budget for the Production Department are based on the following formulas, where q is the number of labor-hours worked in a month: Direct labor Indirect labor Utilities Supplies Equipment depreciation Factory rent Property taxes Factory administration $16.30q $ 4,200$ 2.00q 5,000 0.40q $ 1,500$ 0.40q $18,500 $ 3.10q $8,200 $2,900 $13,500$ 0.80q The actual costs incurred in March in the Production Department are listed below: Actual Cost Incurred in Direct labor Indirect labor Utilities Supplies Equipment depreciation Factory rent Property taxes Factory administration March $68,410 $11,980 $7,110 $ 3,430 $ 31,210 $ 8,600 $ 2,900 $16,170