Need help with the rest. Two 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 $1.60 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and forthe first quarter of Year 3:First76,000Required production in units of finished goodsUnits of raw materials needed per unit of finished goodsUnits of raw materials needed to meet productionAdd: Desired units of ending raw materials inventoryTotal units of raw materials neededLess: Units of beginning raw materials inventoryUnits of raw materials to be purchasedUnit cost of raw materialsCost of raw materials to purchasedSecond106,000Required:Prepare a direct materials budget for musk oil, by quarter and in total, for Year 2.FirstYear 2Budgeted production, in bottlesThe inventory of musk oil at the end of a quarter must be equal to 20% of the following quarter's production needs. Some 30,400grams of musk oil will be on hand to start the first quarter of Year 2.Mink CaressDirect Materials Budget - Year 276,0002Third166,000152,000SecondQuarter106,0002212,000Fourth116,000Third166,0002332,000Year 3First86,000Fourth116,0002232,000Year464,0002928,000

Thew question is based on the concept of Cost Accounting. Direct materials purchase budget is based…

Two 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 $1.60 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and the first quarter of Year 3: First 76,000 Year 2 Second 106,000 First Third 166,000 Required: Prepare a direct materials budget for musk oil, by quarter and in total, for Year 2. Mink Caress Direct Materials Budget - Year 2 Budgeted production, in bottles The inventory of musk oil at the end of a quarter must be equal to 20% of the following quarter's production needs. Some 30,400 grams of musk oil will be on hand to start the first quarter of Year 2. Second Quarter Fourth 116,000 Third Year 3 First 86,000 Fourth Year

Two 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 $1.60 per gram. Budgeted production of Mink Caress is given below by quarters for Year 2 and the first quarter of Year 3: First 76,000 Year 2 Second 106,000 First Third 166,000 Required: Prepare a direct materials budget for musk oil, by quarter and in total, for Year 2. Mink Caress Direct Materials Budget - Year 2 Budgeted production, in bottles The inventory of musk oil at the end of a quarter must be equal to 20% of the following quarter's production needs. Some 30,400 grams of musk oil will be on hand to start the first quarter of Year 2. Second Quarter Fourth 116,000 Third Year 3 First 86,000 Fourth Year

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter18: Pricing And Profitability Analysis

Section: Chapter Questions

Problem 20E: Eastman, Inc., manufactures and sells three products: R, S, and T. In January, Eastman, Inc.,...

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Three 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 $2.10 per gram. Budgeted quarterly production of Mink Caress is given below for Year 2 and the first quarter of Year 3: First 70,000 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 Less: Units of beginning raw materials inventory Units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased Second 100,000 Required: Prepare a direct materials budget for musk oil, by quarter and in total, for Year 2. Year 2 Budgeted production, in bottles The inventory of musk oil at the end of a quarter must equal 20% of the following quarter's production needs. A total of 42,000 grams of musk oil will be on hand to start…
Four 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 $2.10 per gram. Budgeted quarterly production of Mink Caress is given below for Year 2 and the first quarter of Year 3: Units of raw materials needed per unit of finished goods Units of raw materials needed to meet production First 98,000 Total units of raw materials needed Year 2 Units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased Second 128,000 Required: Prepare a direct materials budget for musk oil, by quarter and in total, for Year 2. Budgeted production, in bottles The inventory of musk oil at the end of a quarter must equal 20% of the following quarter's production needs. A total of 78,400 grams of musk oil will be on hand to start the first quarter of Year 2. Third 188,000 Mink Caress Direct Materials Budget - Year 2 First Fourth 138,000 Second Quarter Year 3 First 108,000 Third…
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 oll is $2.10 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 First 98,000 Add: Desired units of ending raw materials inventory Total units of raw materials needed Less: Units of beginning raw materials inventory Units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased Second 128,000 Required: Prepare a direct materials budget for musk oll, by quarter and in total, for Year 2. Year 2 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 78,400 grams of musk oll will be on…
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 $1.60 per gram. Budgeted quarterly production of Mink Caress is given below for Year 2 and the first quarter of Year 3: Budgeted production, in bottles First 76,000 Year 2 Units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased Second Third Fourth 106,000 166,000 116,000 The inventory of musk oil at the end of a quarter must equal 20% of the following quarter's production needs. A total of 30,400 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. Units of raw materials needed per unit of finished goods Units of raw materials needed to meet production Total units of raw materials needed Mink Caress Direct Materials Budget - Year 2 Second First Quarter Year 3 First 86,000 Third…