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Done Ch. 8 Homework O a ezto.mheducation.com Saved Help Save & Exit Submit Check my work 2 points eBook Hint print Exercise 8-3 Direct Materials Budget [L08-4] Three 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 ofthe musk oil is $1.80 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and for the first quarter of Year 3: First Budgeted production, in bottles 66, e Year 2 Second Third Fourth 96, ee 156, 106,e Year 3' First 76,o 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 fo"owing quarter's production needs. Some 39.600 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. References Mink Car s Direct Materia's Budget - Year 2 Second units of raw materials needed per unit of finished goods units of raw materials needed to meet production Quarter fourth Year Total units of raw materials needed units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased G raw prev Third Score answer >