E8-6 Preparing Raw Materials Purchases and Manufacturing Overhead Budgets [LO 8-3c, e] Each visor requires a total of $3.50 in direct materials that includes an adjustable closure that the company purchases from a supplier at a cost of $2.00 each. Shadee wants to have 30 closures on hand on May 1, 22 closures on May 31, and 22 closures on June 30. Additionally, Shadees fixed manufacturing overhead is $800 per month, and variable manufacturing overhead is $2.00 per unit produced.

Required: 1. Determine Shadee's budgeted cost of closures purchased for May and June. (Round your answers to 2 decimal places.)

2. Determine Shadee's budget manufacturing overhead for May and June. (Do not round your intermediate values. Round your answers to 2 decimal places.)

E8-7 Preparing Direct Labor Budget [LO 8-3d]

Suppose that each visor takes 0.10 direct labor hours to produce and Shadee pays its workers $6 per hour. Required: 3. Determine Shadee's budgeted direct labor cost for May and June.