Exercise 8-3 (Algo) Direct Materials Budget (L08-4) 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 $210 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and for the first quarter of Year 3: Year 2 Year) First Second Third Fourth First Budgeted production, in bottles 90,000 128,000 180,000 138,000 108,000 The inventory of musk oil at the end of a quarter must be equal to 20% of the following quarter's production needs. Some 78.400 grams of musk oil will be on hand to start the first quarter of Year 2 Required: Prepare a direct materials budget for muskoll, by quarter and in total, for Year 2. Mink Caress Direct Materials Budget - Year 2 First Quarter Second Quarter Third Quarter Fourth Quarter 98,000 128,000 188.000 138,000 Year 562,000 Required production in units of finished goods Units of raw materials needed per unit of finished goods Units of raw materials needed to meet production Total units of raw materials needed Et Units of raw matenals to be purchased Unit cost of raw materials Cost of raw materials to purchased