Midland Company buys tiles and prints different designs on them for souvenir and gift stores. It...

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Midland Company buys tiles and prints different designs on them for souvenir and gift stores. It buys the tiles from a small company in 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 28,000 tiles in stock. Sales estimates, based on contracts received, are as follows for the next six months: January February 12,600 17,900 March 12,300 April May June 8,100 14,700 8,800 Required: a. & b. Estimate purchases (in units) and cash required to make purchases in January, February, and March. MIDLAND COMPANY Merchandise Purchases Budget For the Period Ended March 31 (in units) January February March Units to be purchased Estimated cost Midland Company buys tiles and prints different designs on them for souvenir and gift stores. It buys the tiles from a small company in 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 28,000 tiles in stock. Sales estimates, based on contracts received, are as follows for the next six months: January February 12,600 17,900 March 12,300 April May June 8,100 14,700 8,800 Required: a. & b. Estimate purchases (in units) and cash required to make purchases in January, February, and March. MIDLAND COMPANY Merchandise Purchases Budget For the Period Ended March 31 (in units) January February March Units to be purchased Estimated cost