The following information applies to the questions displayed below.]

Shadee Corp. expects to sell 630 sun visors in May and 430 in June. Each visor sells for $19. Shadees beginning and ending finished goods inventories for May are 65 and 50 units, respectively. Ending finished goods inventory for June will be 55 units.

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 29 closures on hand on May 1, 19 closures on May 31, and 21 closures on June 30. Additionally, Shadees fixed manufacturing overhead is $1,200 per month, and variable manufacturing overhead is $2.25 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.