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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 oil is $1.50 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and for the first quarter of Year 3: Units of raw materials needed per unit of finished goods Units of raw materials needed to meet production First 88,000 Total units of raw materials needed Units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased Year 2 Required: Prepare a direct materials budget for musk oil, by quarter and in total, for Year 2. Second 118,000 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 70,400 grams of musk oil will be on hand to start the first quarter of Year 2. First Third 178,000 Mink Caress Direct Materials Budget - Year 2 Second Quarter Fourth 128,000. Third Year 3 First 98,000 Fourth Year

Four groms of musk oil are required for each bortle of Mink Caress, a very popular perfume made by a sml company in western Siberia. The cost of the musk oil is \$1.50 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 20% ' of the following quarter's production needs. Some 70,400 grams of musk oil 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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