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08 Two grams of musk oil are required for each bottle of Mink Caress, a very popular perfume made by a small company in western Siberia. The cost of the musk oil is $1.80 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and for the first quarter of Year 3: First 80,000 Units of raw materials needed per unit of finished goods Units of raw materials needed to meet production Total units of raw materials needed Second 110,000 Units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased Required: Prepare a direct materials budget for musk oil, by quarter and in total, for Year 2. Year 2 Budgeted production, in bottles The inventory of musk oil at the end of a quarter must be equal to 20% of the following quarter's production needs. Some 32,000 grams of musk oil will be on hand to start the first quarter of Year 2. Third 170,000 First Mink Caress Direct Materials Budget - Year 2 Fourth 120,000 Second Quarter Year 3 First 90,000 Third Fourth Year

Two grams of musk oil are required for each bettle of Mink Caress, a very popular perfume made by a small company in western Siberia. The cost of the musk oil is $1.80 per aram. Budgeted production or Mink Caress is olven below by quarters for Year 2 and foe the first quarter or Year 3 : The inventory of musk oll at the end of a quarter must be equal to 20x, of the following quarter's production needs. Some 32,000 rams of musk oil wil be on hand to start the first quarter of Year 2 equired: epare a direct materials budget for musk oil, by quarter and in total, for Year 2 . Two grams of musk oll are required for each bottie of Mink Caress, a very popular perfume made by a smoll cornpany in western the first quarter of Yeer 3 : The inventory of musk oll at the end of a quarter must be equal to 20 of the following quarter's production needs. Some 32,000 grams of musk oll will be on hand to start the first quarter of Year 2. Required: Required Prepare a cirect materials budget for musk oil, by quarter and in total, for Year 2

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