You should call lit out as a safety concern. GFCIs should be used in the bath etc. Better to call attention to it in you report. The work you describe is typical of an amateur retrofit. Did you check to see if the outlet screw was grounded? That would at least tell you if the wiring was in mc or conduit.
Easiest would be to suggest consultation with an electrical contractor. It is a safety hazard, especially in the bathroom or any outside outlets.
You really can’t answer the question without seeing the plug at the dryer/range. It should have been changed to 4 wire if the branch circuit was run in 4 wire. Then you split out the neutral and ground to the appropriate bus in the panel.
I am not sure how the AHJ arrived at his answer since the old 3 wire rule prohibited connection to a sub panel. It had to originate from the main panel where neutral and ground were the same thing. There is no good answer for a sub panel connection. If you connect to the ground bus you are putting “objectionable <neutral> current on grounding conductors” and if you connect to the neutral bus you are putting circuit voltage on the can of the appliance (as much as the neutral drop on the range/dryer branch circuit PLUS the feeder).