On January 1, Parker Limited had a beginning inventory of 30 chairs which had cost the company $11 each. During the year, the following purchase transactions took place: March 21: Purchased 20 units for $11 each August 7: Purchased 40 units for $12 each November 18: December 23: Purchased 10 units for $13 each Purchased 20 units for $13 each 70 chairs are sold during the year. 1) On the spreadsheet template provided, determine the cost of goods sold of chairs. Use formulas whenever calculations are done. (2 marks) 3) Explain which method would be most appropriate for a variety store where products often expire and tend to increase in price over time. Why? (2 marks) Explain which method would be most appropriate for a hardware store that sells large quantities of many small items that rarely change in price. Why? (2 marks) Explain which method would be most appropriate for a heavy equipment supplier that sells a small number of expensive pieces of equipment. Why? (2 marks) 4) What would happen to the income statement if the amount of ending inventory was incorrectly counted? (1 mark) What would be the effect on the income statement if it were counted to be too low? (1 mark) What would be the effect on the income statement if it were counted to be too high? (1 mark)