1 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 $1.70 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and fo the first quarter of Year 3: 5 boints 02-08:10 Skipped eBook Hint Print References First 78,000 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 31,200 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. Units of raw materials needed per unit of finished goods Units of raw materials needed to meet production Total units of raw materials needed Year 2 Second Third Fourth 108,000 168,000 118,000 Units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased Mink Caress Direct Materials Budget - Year 2 Year 3 First 88,000 First Quarter Second Quarter Third Quarter Fourth Quarter Year

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 $1.70 per gram, Budgeted production of Mink Caress is given below by quarters for Year 2 and f the first quarter of Year 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 31,200 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