none of these details matter. it can be wrong or fine to look at the bestiary. your purpose is a fine purpose, looking to cheat is wrong. it's not about rules that govern your actions in a crazy, micro-managing way. it's about this DM is an asshole and shouldn't be playing.
calling them out could be a waste of time or a big help. it's never "wrong," but it could be a mistake, if the guy handles it badly. you definitely show the math to the other player. you definitely find a better DM and have nothing to do with the DM you have now. he's just terrible.
in other words, sticking to your format:
TLDR: your DM is a jerk. tell your friend that you can prove for a fact that he got screwed over. then bail, and bail hard. do not play any game with that guy ever again.