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.) 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 $140,000 would increase sales to 230.000 googles. Should the company go ahead with the promotion? Give your reason 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 Data Table Income Statement (Absorption Costing) For the Year Ended December 31 Sales revenue 8.405.000 Sales prie Variable manufacturing expense per.unit... $ Less 4.920,000 Cost of goods sold Sales commission expense per unit........ Gross profit 3.485.000 1.260000 Fixed manufacturing overhead ............ $ 2,990,000 Less Operating expenses Fixed operating expenses 235.000 Operating income 2.225.000 Nurnber of goggles, produced..... 230.000 Number of goggles sold 205,000 Choose from any list or enter any number in the input fields and then click Check Print Done Check Answer remaining