Determine shadee budgeted manufacturing cost per visor

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Question: Each visor requires a total of $5.50 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 32 closures on hand on May 1, 18 closures on May 31, and 24 closures on June 30 and variable manufacturing overhead is $2.25 per unit produced. Suppose that each visor takes 0.30 direct labor hours to produce and Shadee pays its workers $8 per hour.

Required: 1. Determine Shadee's budgeted manufacturing cost per visor. (Note: Assume that fixed overhead per unit is $1.80.) (Round your answer to 2 decimal places.)

Reference no: EM132083195

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