ch.8 question 2

Two qrams of musk oil sre required for each botale of Mink Caress, a very popular gesfume macke by a small compony in western Sbetia. The cost of the musk oll is $150 per 9 ram. Budgeted production of Mink Caress is given below by quarters for Year 2 and for the frst quarter of Yoar 3 : The inventory of musk oil at the end of a quarter must be equal to 20% of the following quanter's productian necds. Some 29,600 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