Exercise $8-3($Algo$)$ Direct Materials Budget $[$LO$8-4]$

Two grams of musk oil are required for each bottle of Mink Caress, a popular perfume made by a company in western Siberia. The cost of the musk oil is $$2\mathrm{.}20$ per gram. Budgeted quarterly production of Mink Caress is given below for Year $2$ and the first quarter of Year $3$:

$\backslash$table$[[,$Year $2,$Year $3],[$Budgeted production, in bottles,$\backslash$table$[[\backslash$table$[[$First$],[86,000]]]],\backslash$table$[[\backslash$table$[[$Second$],[116,000]]]],\backslash$table$[[$Third$],[176,000]],\backslash$table$[[$Fourth$],[126,000]],\backslash$table$[[$First$],[96,000]]]]$

The inventory of musk oil at the end of a quarter must equal $20\%$ of the following quarter's production needs. A total of $34,400$ 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 $2.$