Cathy Company began the accounting period with no beginning inventory. During the period, Cathy paid cash to purchase two identical inventory items the first purchase cost $10 and the second purchase cost $12. On the last day of the accounting period, Cathy sold one inventory item for $30 cash. From this information, which of the following conclusions can be drawn, assuming Cathy pays no taxes? There is a $3 net increase in cash no matter which cost flow assumption is used. O There is a $19 net increase in cash if the FIFO cost flow assumption is used. There is a $20 net increase in cash if the weighted-average cost flow assumption is used. There is a $8 net increase in cash no matter which cost flow assumption is used. There is an $18 net increase in cash if the LIFO cost flow assumption is used.