Exercise 8-3 Direct Materials Budget [L08-4] Four grams of musk oil are required for each bottle of Mink Caress, a very popular perfum Siberia. The cost of the musk oil is $1.80 per gram. Budgeted production of Mink Caress i. the first quarter of Year 3: made by a small company in we ven below by quarters for Year 2 and for First Second 104,000 as a precaution Musk oil has become so popular as a perfume ingredient that it has become necessary to carry large in against stock-outs. For this reason, the inventory of musk oil at the end of a quarter must be equal to 20% of the following quarters production needs. Some 75,200 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 (Round "Unit cost of raw materials decimal places.) nswers to 2 Direct Materials Budget- Year 2 Quarter First Second Third Fourth Units of raw materials needed per unit of finished goods neeas. some />,z00 grams ot musk ol will be on nand to start the hrst to Third Cost of raw to