Question: Required information SB Exercise E8-5 to E8-10 [The following information applies to the questions displayed below.] Shadee Corp. expects to sell 510 sun visors in
Required information SB Exercise E8-5 to E8-10 [The following information applies to the questions displayed below.] Shadee Corp. expects to sell 510 sun visors in May and 380 in June. Each visor sells for $26. Shadee's beginning and ending finished goods inventories for May are 70 and 50 units, respectively. Ending finished goods inventory for June will be 55 units. E8-8 (Algo) Preparing Cost of Goods Sold Budget [LO 8-3f] 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 $2.50 each. Shadee wants to have 26 closures on hand on May 1, 17 closures on May 31, and 26 closures on June 30 and variable manufacturing overhead is $2.75 per unit produced. Suppose that each visor takes 0.20 direct labor hours to produce and Shadee pays its workers $7 per hour. Required: 1. Determine Shadee's budgeted manufacturing cost per visor. (Note: Assume that fixed overhead per unit is $8.) 2. Compute the Shadee's budgeted cost of goods sold for May and June. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine Shadee's budgeted manufacturing cost per visor. (Note: Assume that fixed overhead per unit is $8.) (Round your answer to 2 decimal places.) Manufacturing Cost per Unit
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
