Ex 20-7 Variable costing Income staement The following data were adapted from a recent Income staement of Procter & Gamble Company: (In Millions) Sales Operating Costs: $ 83,062.00 Operating costs: Cost product sold 42,460 Marketing, administrative, and other expenses 25,314 Total operating costs 67,774 Income from operations 15,288 Assume that the variable cost amout of each category of operations cost is as follows: (in millions) Cost of procduct sold 23,778 Marketing, aministrative, and other expenses 10,125 a. Based on the dta given, preapare a variable costing income statement for Procter & Gamble Company, assuming that the company maintained constant inventory levels during the period. b. If Procter & gamble reduced its invntoreis during the period, what impact would that have on the income from operations determined under absotion costing?