The annual data that follows pertain to Swimmer, a manufacturer of swimming goggles (the company had no beginning inventory): (Click the icon to view the data.) Read the requirements. ... Requirement 1. Prepare both conventional (absorption costing) and contribution margin (variable costing) income statements for Swimmer for the year. Begin with the conventional (absorption costing) income statement. Swimmer Income Statement (Absorption Costing) For the Year Ended December 31 Data table Less: Less: Operating expenses Contribution margin Cost of goods sold Fixed expenses Fixed manufacturing overhead Fixed operating expenses Gross profit Operating expenses Operating income Sales revenue Variable cost of goods sold Variable expenses Variable operating expenses Sales price.... $ 49 Variable manufacturing expense per unit ... Sales commission expense per unit .... $ $ 22 23 11 Fixed manufacturing overhead. $ 2,000,000 $ 240,000 Fixed operating expenses.. Number of goggles produced. Number of goggles sold Print Done 200,000 175,000 Requirements 1. Prepare both conventional (absorption costing) and contribution margin (variable costing) income statements for Swimmer for the year. 2. Which statement shows the higher operating income? Why? 3. The company marketing vice president believes a new sales promotion that costs $165,000 would increase sales to 200,000 goggles. Should the company go ahead with the promotion? Give your reason. Print Done -