Exercise 1 - Extracting purchases: Tesla's ending inventory on December 31, 2016, was $953,675. Tesla's ending inventory on December 31, 2017, was $1,277,838. Furthermore, Tesla's cost of revenues in 2017 was $2,823,302. Required: Calculate Tesla's inventory purchases in 2017. Exercise 2 Inventory write-downs: The table below provides information on five inventory items in Raphael Inc.'s stock on December 31, 2017: Item A B D E Quantity 130 70 915 34 749 Inventory on December 31, 2017 Unit cost (FIFO) Replacement cost (Market) $9 $12 $23 $20 $5 $3 $46 $50 $2 $1 Required: i (a) Calculate Raphael Inc.'s inventory on December 31, 2017. Show calculations. (b) Prepare the related journal entry