Shadee Corp. expects to sell 550 sun visors in May and 320 in June. Each visor...

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Shadee Corp. expects to sell 550 sun visors in May and 320 inJune. Each visor sells for $21. Shadee’s beginning and endingfinished goods inventories for May are 60 and 45 units,respectively. Ending finished goods inventory for June will be 60units.
Each visor requires a total of $3.50 in direct materials thatincludes an adjustable closure that the company purchases from asupplier at a cost of $2.00 each. Shadee wants to have 27 closureson hand on May 1, 21 closures on May 31, and 22 closures on June30. Additionally, Shadee’s fixed manufacturing overhead is $1,300per month, and variable manufacturing overhead is $1.75 per unitproduced.
Required: 1. Determine Shadee's budgeted cost of closurespurchased for May and June. 2. Determine Shadee's budgetmanufacturing overhead for May and June.
Required: 2: Determine Shadee's budget manufacturing overheadfor May and June. (Do not round your intermediate values. Roundyour answers to 2 decimal places.)

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4.1 Ratings (501 Votes)

1 Production Budget Shadee Corp Particulars May June Expected sales units 550 320 Add ending inventory 45 60 Less Beginning inventory 60 45 Estimated production units See Answer

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