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help with the following problem please: Rainwater Corp. expects to sell 600 umbrellas in May and 400 in June. Each umbrella sells for $15. Rainwater's
help with the following problem please:
Rainwater Corp. expects to sell 600 umbrellas in May and 400 in June. Each umbrella sells for $15. Rainwater's beginning and ending finished goods inventories for May are 75 and 50 units, respectively. Ending finished goods inventory for June will be 60 units. Each umbrella requires a total of S3.50 in direct materials that includes an opening mechanism that the company purchases from a supplier at a cost of $2.00 each. Rainwater wants to have 30 mechanisms on hand at May 1, 20 mechanisms at May 31, and 25 mechanisms at June 30. Additionally, Rainwater's fixed manufacturing overhead is $1,000 per month, and variable manufacturing overhead is $1.25 per unit produced. Requirement 1: Compute the budgeted cost of mechanisms purchased for May and June. Requirement 2: Compute the budgeted manufacturing overhead for May and June Rainwater Corp. expects to sell 600 umbrellas in May and 400 in June. Each umbrella sells for $15. Rainwater's beginning and ending finished goods inventories for May are 75 and 50 units, respectively. Ending finished goods inventory for June will be 60 units. Each umbrella requires a total of S3.50 in direct materials that includes an opening mechanism that the company purchases from a supplier at a cost of $2.00 each. Rainwater wants to have 30 mechanisms on hand at May 1, 20 mechanisms at May 31, and 25 mechanisms at June 30. Additionally, Rainwater's fixed manufacturing overhead is $1,000 per month, and variable manufacturing overhead is $1.25 per unit produced. Requirement 1: Compute the budgeted cost of mechanisms purchased for May and June. Requirement 2: Compute the budgeted manufacturing overhead for May and June
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