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Each shade requires a total of $65.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to have 130 in
Each shade requires a total of $65.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to have 130 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 110 poles in inventory on June 30. Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $12 per hour. Additionally, Shadees fixed manufacturing overhead is $12,000 per month, and variable manufacturing overhead is $14 per unit produced. Use the information and solutions presented to complete the requirements. Required: Determine Shadees budgeted manufacturing cost per shade. (Note: Assume that fixed overhead per unit is $12.) Prepare Shadees budgeted cost of goods
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