1 Ti Att 1 pts 61 ZamBU Company purchased two identical inventory items. One of the items cost $34.00 and was purchased in February. The other was purchased in March, and the company paid $38.00 for this item. One of the items was sold in May at a price of $60.00. Select the correct answer assuming that ZamBU uses a LIFO cost flow assumption. The balance in ending inventory would be $36 The balance in ending inventory would be $38 The balance in ending inventory would be $34.00 The amount of gross profit would be $26.00 Question 2 What is the impact to the Balance Sheet when a company records the necessary adjustment to Prepaid insurance to recognize Insurance Expense? O Decrease Assets, Decrease Equity 00 Increase Assets, Increase Liabilities Assets Remain Unchanged O Decrease Assets, Decrease Liabilities 1 pts Question 3 BobCat Inc. had the following company transactions during 2022: Paid off a $60,000 notes payable Accrued $20,000 in interest expense Recorded $120,000 in Sales on account Paid $25,000 and recorded salaries expense Purchased Inventory for 10,000 What is BobCat's net income using accrual accounting? 75,000 10,000 95,000 15,000 1 pts