If inventory is being valued at cost and the price level is steadily rising, discuss which of the two methods of costing FIFO or LIFO will yield [a] the highest inventory cost, [c] the highest gross profit, [d] the lowest gross profit. If inventory is being valued at cost, and the price level is steadily rising, discuss which of the two methods of costing FIFO or LIFO will yield the lowest annual income tax expense