Do not give solution in image Exercise 8-3 (Algo) Direct Materials Budget [LO8-4]Four grams of musk oil are required for each bottle of Mink Caress, a very popular perfume made by a small company in westernSiberia. 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 forthe first quarter of Year 3:First100,000Year 2Second130,000FourthThird190,000 140,000Year 3First110,000Budgeted production, in bottlesThe inventory of musk oll at the end of a quarter must be equal to 20% of the following quarter's production needs. Some 80,000grams 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.

DIRECT MATERIAL PURCHASE BUDGET Material Budget includes quantities of Direct materials.…

Exercise 8-3 (Algo) Direct Materials Budget [LO8-4] Four 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 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: First 100,000 Year 2 Second Third Fourth 130,000 190,000 140,000 Year 3 First 110,000 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 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.