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Determine Shadee budget manufacturing overhead for May

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Reference no: EM133041493

Problem - Each visor requires a total of $4.50 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 26 closures on hand on May 1, 20 closures on May 31, and 22 closures on June 30. Additionally, Shadee's fixed manufacturing overhead is $1,100 per month, and variable manufacturing overhead is $1.50 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.

Reference no: EM133041493

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