Assume the following information 1. Prepare an income statement for both scenarios under the Absorption method of costing: Sales cogs Gross Profit Selling \& Admin Exp. Inc. from Operations 2. Prepare an income statement for both scenarios under the Variable method of costing: Sales Variable Mig: Mfg Margin Variable S \& A Contribution Margin Fixed Mig Fixed &A Inc. from Operations Please answerr the following: 1. Wivy is there a difference in Absorption and Variable costing in the scenarios above? 2. Which cost structure is driven by production? Which is driven by sales? 3. Do you see the potential to manipulate earnings? What will be the lone term impact on profit? 4. Which costing method would be most appropriate for decision making and why? (Use a product pricing example)