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Required information SB Exercise E8-5 to E8-10 (The following information applies to the questions displayed below.) Shadee Corp. expects to sell 610 sun visors in
Required information SB Exercise E8-5 to E8-10 (The following information applies to the questions displayed below.) Shadee Corp. expects to sell 610 sun visors in May and 320 in June. Each visor sells for $22. Shadee's beginning and ending finished goods inventories for May are 85 and 40 units, respectively. Ending finished goods inventory for June will be 55 units. E8-7 (Algo) Preparing Direct Labor Budget [LO 8-3d] Suppose that each visor takes 0.50 direct labor hours to produce and Shadee pays its workers $11 per hour. Required: Determine Shadee's budgeted direct labor cost for May and June. (Do not round your intermediate values. Round your answers to 2 decimal places.) May June Budgeted Direct Labor Cost E8-8 (Algo) Preparing Cost of Goods Sold Budget [LO 8-3f] 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 $2.50 each. Shadee wants to have 34 closures on hand on May 1, 18 closures on May 31, and 22 closures on June 30 and variable manufacturing overhead is $1.25 per unit produced. Suppose that each visor takes 0.50 direct labor hours to produce and Shadee pays its workers $11 per hour. Required: 1. Determine Shadee's budgeted manufacturing cost per visor. (Note: Assume that fixed overhead per unit is $5.) 2. Compute the Shadee's budgeted cost of goods sold for May and June. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine Shadee's budgeted manufacturing cost per visor. (Note: Assume that fixed overhead per unit is $5.) (Round yo answer to 2 decimal places.) Manufacturing Cost per Unit Compute the Shadee's budgeted cost of goods sold for May and June. (Round your intermediate calculations to 2 decimal places. Round your answers to 2 decimal places.) May June Budgeted Cost of Goods Sold E8-9 (Algo) Preparing Selling and Administrative Expense Budget [LO 8-39) 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 $2.50 each. Shadee wants to have 34 closures on hand on May 1, 18 closures on May 31, and 22 closures on June 30. Additionally, Shadee's fixed manufacturing overhead is $700 per month, and variable manufacturing overhead is $1.25 per unit produced. Each visor takes 0.50 direct labor hours to produce and Shadee pays its workers $11 per hour. Additional information: . Selling costs are expected to be 6 percent of sales. Fixed administrative expenses per month total $1,200. Required: Determine Shadee's budgeted selling and administrative expenses for May and June. (Do not round your intermediate calculations. Round your answers to 2 decimal places.) May June Budgeted Selling and Administrative Expenses 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 $2.50 each. Shadee wants to have 34 closures on hand on May 1, 18 closures on May 31, and 22 closures on June 30 and variable manufacturing overhead is $1.25 per unit produced. Suppose that each visor takes 0.50 direct labor hours to produce and Shadee pays its workers $11 per hour. Additional information: Selling costs are expected to be 6 percent of sales. Fixed administrative expenses per month total $1,200. Required: Complete Shadee's budgeted income statement for the months of May and June. (Note: Assume that fixed overhead per unit is $5.00.) (Do not round your intermediate calculations. Round your answers to 2 decimal places.) SHADEE CORP. Budgeted Income Statement May June Budgeted Gross Margin Budgeted Net Operating Income
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