3. Miscellaneous Financial Information In 2014, 2013, and 2012, net income included gains of $187 million, $282 million, and $328 million, respectively, attributable to the combined effects of LIFO inventory accumulations and drawdowns. The aggregate replacement cost of inventories was estimated to exceed their LIFO carrying values by $10.6 billion and $21.2 billion at December 31, 2014 and 2013, respectively. Crude oil, products, and merchandise as of year-end 2014 and 2013 consist of the following: ($ in billions) 2014 2013 $ 3.9 4.7 Petroleum products Crude oil Chemical products Gas/other Total $ 4.1 4.6 2.9 0.8 $12.4 2.9 0.6 $12.1 Required: 1. By how much would net income for 2014 have differed had ExxonMobil used FIFO to value those inventory items valued under LIFO? Assume a 35% marginal tax rate. Be sure to indicate whether FIFO income would be higher or lower than LIFO income. 2. What would the LIFO reserve have been on December 31, 2014, if no drawdowns had occurred in 2014? The drawdowns represent LIFO liquidations. 3. What was the net difference in 2014 income taxes that ExxonMobil experienced as a result of using LIFO rather than FIFO? Assume a 35% tax rate and indicate whether FIFO or LIFO would yield the higher tax and by how much. 4. What was the approximate rate of change in input costs in 2014 for ExxonMobil's inventory? 3. Miscellaneous Financial Information In 2014, 2013, and 2012, net income included gains of $187 million, $282 million, and $328 million, respectively, attributable to the combined effects of LIFO inventory accumulations and drawdowns. The aggregate replacement cost of inventories was estimated to exceed their LIFO carrying values by $10.6 billion and $21.2 billion at December 31, 2014 and 2013, respectively. Crude oil, products, and merchandise as of year-end 2014 and 2013 consist of the following: ($ in billions) 2014 2013 $ 3.9 4.7 Petroleum products Crude oil Chemical products Gas/other Total $ 4.1 4.6 2.9 0.8 $12.4 2.9 0.6 $12.1 Required: 1. By how much would net income for 2014 have differed had ExxonMobil used FIFO to value those inventory items valued under LIFO? Assume a 35% marginal tax rate. Be sure to indicate whether FIFO income would be higher or lower than LIFO income. 2. What would the LIFO reserve have been on December 31, 2014, if no drawdowns had occurred in 2014? The drawdowns represent LIFO liquidations. 3. What was the net difference in 2014 income taxes that ExxonMobil experienced as a result of using LIFO rather than FIFO? Assume a 35% tax rate and indicate whether FIFO or LIFO would yield the higher tax and by how much. 4. What was the approximate rate of change in input costs in 2014 for ExxonMobil's inventory