Shadee Corporation expects to sell 600 sun shades in May and 380 in June. Each shade sells for $152. Shadee's beginning and ending finished goods inventories for May are 70 and 45 shades, respectively. Ending finished goods inventory for June will be 60 shades. E8-8 (Algo) Preparing Cost of Goods Sold Budget [LO 8-3f] Each shade requires a total of $50.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to have 130 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 110 poles in inventory on June 30. Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $14 per hour. Additionally, Shadee's fixed manufacturing overhead is $8,000 per month, and variable manufacturing overhead is $14 per unit produced. Use the information and solutions presented to complete the requirements. Required: 1. Determine Shadee's budgeted manufacturing cost per shade. (Note: Assume that fixed overhead per unit is $18.) 2. Prepare 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 Answer is complete but not entirely correct. Determine Shadee's budgeted cost of goods sold for May and June. Note: Round your intermediate calculations to 2 decimal places. Round your answers to 2 decimal places. May Budgeted Cost of Goods Sold June
Shadee Corporation expects to sell 600 sun shades in May and 380 in June. Each shade sells for $152. Shadee's beginning and ending finished goods inventories for May are 70 and 45 shades, respectively. Ending finished goods inventory for June will be 60 shades. E8-8 (Algo) Preparing Cost of Goods Sold Budget [LO 8-3f] Each shade requires a total of $50.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to have 130 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 110 poles in inventory on June 30. Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $14 per hour. Additionally, Shadee's fixed manufacturing overhead is $8,000 per month, and variable manufacturing overhead is $14 per unit produced. Use the information and solutions presented to complete the requirements. Required: 1. Determine Shadee's budgeted manufacturing cost per shade. (Note: Assume that fixed overhead per unit is $18.) 2. Prepare 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 Answer is complete but not entirely correct. Determine Shadee's budgeted cost of goods sold for May and June. Note: Round your intermediate calculations to 2 decimal places. Round your answers to 2 decimal places. May Budgeted Cost of Goods Sold June
Chapter1: Financial Statements And Business Decisions
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Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
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![Shadee Corporation expects to sell 600 sun shades in May and 380 in June. Each shade sells for $152. Shadee's
beginning and ending finished goods inventories for May are 70 and 45 shades, respectively. Ending finished goods
inventory for June will be 60 shades.
E8-8 (Algo) Preparing Cost of Goods Sold Budget [LO 8-3f]
Each shade requires a total of $50.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to
have 130 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 110 poles in inventory on June 30.
Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $14 per hour. Additionally, Shadee's
fixed manufacturing overhead is $8,000 per month, and variable manufacturing overhead is $14 per unit produced.
Use the information and solutions presented to complete the requirements.
Required:
1. Determine Shadee's budgeted manufacturing cost per shade. (Note: Assume that fixed overhead per unit is $18.)
2. Prepare 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
> Answer is complete but not entirely correct.
Determine Shadee's budgeted cost of goods sold for May and June.
Note: Round your intermediate calculations to 2 decimal places. Round your answers to 2 decimal places.
Budgeted Cost of Goods Sold
$
May
June](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa880cc3d-71b2-44bc-9eb8-ccb18aa2c0ed%2Ffd033031-19c6-4fe7-8453-b34649eac888%2F97zbo2h_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Shadee Corporation expects to sell 600 sun shades in May and 380 in June. Each shade sells for $152. Shadee's
beginning and ending finished goods inventories for May are 70 and 45 shades, respectively. Ending finished goods
inventory for June will be 60 shades.
E8-8 (Algo) Preparing Cost of Goods Sold Budget [LO 8-3f]
Each shade requires a total of $50.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to
have 130 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 110 poles in inventory on June 30.
Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $14 per hour. Additionally, Shadee's
fixed manufacturing overhead is $8,000 per month, and variable manufacturing overhead is $14 per unit produced.
Use the information and solutions presented to complete the requirements.
Required:
1. Determine Shadee's budgeted manufacturing cost per shade. (Note: Assume that fixed overhead per unit is $18.)
2. Prepare 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
> Answer is complete but not entirely correct.
Determine Shadee's budgeted cost of goods sold for May and June.
Note: Round your intermediate calculations to 2 decimal places. Round your answers to 2 decimal places.
Budgeted Cost of Goods Sold
$
May
June
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