Question 3 (Marks: 20) Mr Bespoke runs a suit making business (Bespoke Limited) in Johannesburg and imports all his raw material from Florence in Italy. There is a special Pink fabric he is importing and need to make suits for his customers. He orders 500 meters of Fabric from Vitale Barbaris on the 15th of October 2020 at 250 Euros per meter. (The spot on the same day was 1 Euro = R 15.50). The fabric was flown out of Peretola Airport on the 17" of October and arrived at OR Tambo on the 19th of October. The import duties amounted to R19 500.00. The non-refundable taxes amounted to R9 500.00. The refundable taxes amounted to R2 500.00. The fabric is transported via a truck from OR Tambo on the 20th for a cost of R6 700.00. On the 27th of October 2020 the entity incurred marketing costs of R1 500.00 for Instagram influencers to market the new fabric Additional Information: All amounts are Vat Inclusive All amounts were settled cash (15) You are required to: Q.3.1 Calculate and explain the cost of the fabric using journal entries to indicate your understanding of how the transaction will be accounted for in the books of Mr Bespoke Limited. (5) Q.3.2 Showcase an extract of the statement of financial position for Inventory at 31 October 2020, assuming stock had an opening balance of R260 850.00 at the beginning of October and stock with a cost of R150 000.00 was sold in October