Shadee Corp. expects to sell 620 sun visors in May and 340 in June. Each visor sells for $19. Shadee’s beginning and ending finished goods inventories for May are 70 and 45 units, respectively. Ending finished goods inventory for June will be 55 units.

Suppose that each visor takes 0.30 direct labor hours to produce and Shadee pays its workers $11 per hour.

Required:
1) Determine Shadee's budgeted direct labor cost for May and June. (Do not round your intermediate values. Round your answers to 2 decimal places.)

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 $2.00 each. Shadee wants to have 30 closures on hand on May 1, 17 closures on May 31, and 23 closures on June 30 and variable manufacturing overhead is $2.75 per unit produced. Suppose that each visor takes 0.30 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 $1.30.) (Round your answer to 2 decimal places.)



2. Compute the Shadee’s budgeted cost of goods sold for May and June. (Do not round your intermediate values. Use rounded cost per unit in intermediate calculations.)

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 $2.00 each. Shadee wants to have 30 closures on hand on May 1, 17 closures on May 31, and 23 closures on June 30. Additionally, Shadee’s fixed manufacturing overhead is $1,500 per month, and variable manufacturing overhead is $2.75 per unit produced. Each visor takes 0.30 direct labor hours to produce and Shadee pays its workers $11 per hour.

Additional information:

Selling costs are expected to be 7 percent of sales.

Fixed administrative expenses per month total $1,300.


Required:
Determine Shadee's budgeted selling and administrative expenses for May and June.