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 $2.20 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 3
	First	Second	Third	Fourth		First
Budgeted production, in bottles	100,000	130,000	190,000	140,000		110,000

Musk oil has become so popular as a perfume ingredient that it has become necessary to carry large inventories as a precaution 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 80,000 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" answers to 2 decimal places.)

Mink Caress
Direct Materials Budget - Year 2
Quarter
First	Second	Third	Fourth	Year
Required production in units of finished goods	100,000	130,000	190,000	140,000	560,000
Units of raw materials needed per unit of finished goods	4	4	4	4	4
Units of raw materials needed to meet production	400,000	520,000	760,000	560,000	2,240,000
Add: Desired units of ending raw materials inventory
Total units of raw materials needed	400,000	520,000
Less: Units of beginning raw materials inventory
Units of raw materials to be purchased	400,000	520,000	0	0	0
Unit cost of raw materials	$2.20	$2.20	$2.20	$2.20	$2.20
Cost of raw materials to purchased	$880,000	$1,144,000