QUESTION 4 (25 POINTS) Deep Creek Boats sells motor boats. One of Deep Creek Motor's most popular models is the Flight. During the current year, they purchased 12 Flights at the following costs. Units Purchased 4 5 Purchase Date Apr. 1 Apr. 19 May 8 Unit Cost $8,000 8,200 Total Cost $32,000 41,000 8,500 25,500 $98,500 12 On April 28, Deep Creek Motors sold five Flights to the Dee Knights racing team. The remaining seven boats remained in inventory at June 30, the end of Deep Creek Motor's fiscal year. Instructions a. Compute (a) the cist of goods sold relating to the sale on April 28 and (b) the ending inventory of Flight boats at June 30, using the following cost flow assumptions. 1. Average cost (round cost to nearest whole dollar). 2. FIFO. 3. LIFO. Show the number of units and the unit costs of each layer comprising the cost of goods sold and ending inventory. b. Using the cost figures computed in part a, answer the following questions: 1. Which of the three cost flow assumptions will result in Deep Creek Motors reporting the lowest net income for the current year? Would this always be the case? Explain