3-40A (book/static) The annual data that follow pertain to Rays, a manufacturer of swimming goggles. (Rays had no beginning inventories.) Click the icon to view the data) Requirements 1. Prepare both conventional (absorption costing) and contribution margin (variable costing) income statements for Rays for the year 2. Which statement shows the higher operating income? Why? Reconcile the difference between the two statements 3. Rays markating vice-presidend believes a new sales promotion that costs $200,000 would increase sales to 200,000 goggles. Should the company go ahead with the promotion? Give your reason Begin with the conventional (absorption costing) income statement. (For antries with a zaro balance, make sure to enter "0" in the appropriate cell.) Rays Conventional (Absorption Casting) Income Statement For the Year Ended December 31 Openis income