Shadee Corp. expects to sell 640 sun visors in May and 430 in June. Each visor sells for $17. Shadees beginning and ending finished goods inventories for May are 75 and 55 units, respectively. Ending finished goods inventory for June will be 70 units.

Each visor requires a total of $5.50 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 33 closures on hand on May 1, 18 closures on May 31, and 23 closures on June 30. Additionally, Shadees fixed manufacturing overhead is $1,000 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.

2. Determine Shadee's budget manufacturing overhead for May and June.

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Suppose that each visor takes 0.10 direct labor hours to produce and Shadee pays its workers $6 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.)

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Each visor requires a total of $5.50 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 33 closures on hand on May 1, 18 closures on May 31, and 23 closures on June 30 and variable manufacturing overhead is $2.00 per unit produced. Suppose that each visor takes 0.10 direct labor hours to produce and Shadee pays its workers $6 per hour.

Required:

1. Determine Shadees budgeted manufacturing cost per visor. (Note: Assume that fixed overhead per unit is $3.)

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

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Each visor requires a total of $5.50 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 33 closures on hand on May 1, 18 closures on May 31, and 23 closures on June 30. Additionally, Shadees fixed manufacturing overhead is $1,000 per month, and variable manufacturing overhead is $2.00 per unit produced. Each visor takes 0.10 direct labor hours to produce and Shadee pays its workers $6 per hour.

Additional information:

• Selling costs are expected to be 8 percent of sales.
• Fixed administrative expenses per month total $1,400.

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.)

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Each visor requires a total of $5.50 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 33 closures on hand on May 1, 18 closures on May 31, and 23 closures on June 30 and variable manufacturing overhead is $2.00 per unit produced. Suppose that each visor takes 0.10 direct labor hours to produce and Shadee pays its workers $6 per hour.

Additional information:

• Selling costs are expected to be 8 percent of sales.
• Fixed administrative expenses per month total $1,400.

Required:

Complete Shadee's budgeted income statement for the months of May and June. (Note: Assume that fixed overhead per unit is $3.00.) (Do not round your intermediate calculations. Round your answers to 2 decimal places.)