Europe, so at all times it keeps on hand a stock equal to the tiles needed for three months' sales. The tiles cost $1.25 each and must be paid for in cash. The company has 30,000 tiles in stock. Sales estimates, based on contracts received, are as follows for the next six months January February March April May June 12,000 18,700 12.300 13,600 9.400 7,500 Required: a.& b. Estimate purchases (in units) and cash required to make purchases in January, February, and March. Answer is complete but not entirely correct. MIDLAND COMPANY Merchandise Purchases Budget For the Period Ended March 31 (in units) January February March Units to be purchased 26,600 24,000 12,800 Estimated cost $ 33,250 30,000 $ 16.000