ook 6 Int 4 Tint O rences Three grams of musk oll 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 oll is $1.60 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and for the first quarter of Year 3: 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 Add: Desired units of ending raw materials inventory Total units of raw materials needed First 62,000 Budgeted production, in bottles The Inventory of musk oll at the end of a quarter must be equal to 20% of the following quarter's production needs. Some 37,200 grams of musk oll will be on hand to start the first quarter of Year 2. Required: Prepare a direct materials budget for musk oll, by quarter and in total, for Year 2 Units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased Year 2 Second Third Fourth 92,000 152,000 102,000 Year 3 First 72,000 Mink Caress Direct Materials Budget - Year 2 First Quarter Second Quarter Third Quarter Fourth Quarter 62,000 92,000 152,000 102,000 3 3 186,000 74,400 276,000 3 456,000 306,000 Ye

Three grams of musk oll 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 oll is $1.60 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and for 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 37,200 grams of musk oll will be on hand to start the first quarter of Year 2 Required: Prepare a direct matenals budget for musk oll, by quarter and in total, for Year 2