Answered

Each visor requires a total of $3.50 in direct materials that includes an adjustable closure that the company purchases from a supplier at a cost of $1.50 each. Shadee wants to have 29 closures on hand on May 1, 15 closures on May 31, and 24 closures on June 30. Additionally, Shadee's fixed manufacturing overhead is $1,500 per month, and variable manufacturing overhead is $2.25 per unit produced Required 1. Determine Shadee's budgeted cost of closures purchased for May and June

Answer :