Shadee Corp. expects to sell 600 sun visors in May and 400 in June. Each visor sells for $27. Shadees beginning and ending finished goods inventories for May are 80 and 50 units, respectively. Ending finished goods inventory for June will be 65 units.

Each visor requires a total of $5.00 in direct materials that includes an adjustable closure that the company purchases from a supplier at a cost of $1.50 each. Shadee wants to have 34 closures on hand on May 1, 21 closures on May 31, and 27 closures on June 30 and variable manufacturing overhead is $1.00 per unit produced. Suppose that each visor takes 0.80 direct labor hours to produce and Shadee pays its workers $10 per hour.

Required:

1. Determine Shadees budgeted manufacturing cost per visor. (Note: Assume that fixed overhead per unit is $4.)

2. Compute the Shadees budgeted cost of goods sold for May and June.