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Four grams of musk oil are required for each bottle of Mink Caress, a very...

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Accounting

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Four 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 oll is $2:10 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and for the first quarter of Year 3 : The inventory of musk oil at the end of a quarter must be equal to 208 pof the following quarter's production needs, Some 78,400 grams of musk oll will be on hand to start the first quarter of Year 2. Required: Prepare a direct materials budget for musk oil, by quarter and in total, for Year 2

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