SECTION B: ACCOUNTING PROBLEMS IIn this section you will have to answer ANY TWO questionsl Question 1: OMeara Sales sells golf bags and uses a perpetual inventory system. O'Meara's inventory records show that at March 1, there were 30 units on hand at a cost of $135 each. Transactions related to purchase and sale of golf bags in March were as follows: Per unit Cost Sales price $127 $125 Transactio Units Mar 2 Mar 5 Mar 15 Mar 20 Mar 30 Purchase Sale Purchase Purchase Sale 17 10 12 $150 $120 50 $150 Instructions (a) For each of the following cost flow assumptions, calculate the ending inventory as at March 31 and the cost of goods sold for the month of March. i. FIFO ii. Average cost 12X3 6 marks] (b) Calculate the gross profit margin that will be reported under each of the cost flow assumptions. Comment on the business performance based on the GP margin. 12+6-8 marks] (c) Assume that O'Meara while adhering different if the cost of golf bags was increasing, in is motivated to report the highest net income possible Which method will they prefer? Would your answer be aihte ent i the cost of golf bags was increasing, instead of decreasing? GAAP. 6 marks]