Part B: Short Answer Questions. Answer All Questions (5+3 marks = 15 marks) Time Allowed: 40 Minutes 1. Explain the meaning of "cost" and "market" as used in the application of the lower-of- cost-or-market rule with an example. 2. Write three examples cach, for asset use and asset exchange transactions. 3. The details of inventory on Jan. 1, 2019 and its subsequent purchase are given below. Date No. of Units Unit Price Jan. 1 100 $20 Beginning balance Purchase Purchase 200 Jan 10 Jan 15 $25 Total Cost $2,000 $5,000 $3,000 $8,000 100 $30 Jan 30 Purchase 200 $40 On February 1, 2019, the company sold 500 units at $40 each. Calculate the cost of goods sold using the First-In-First Out Method and the Gross Margin