Exercise $\backslash (19-7\backslash )($Algo$)$ Income reporting under absorption costing and variable costing Sims Company began operations on January $1.$ Its cost and sales information for this year follow. $1.$ Prepare an income statement for the year using variable costing. $2.$ Prepare an income statement for the year using absorption costing. Complete this question by entering your answers in the tabs below. Prepare an income statement for the year using variable costing.Exercise $19-7($Algo$)$ Income reporting under absorption costing and variable cost Sims Company began operations on January $1.$ Its cost and sales information for this year follow. $1.$ Prepare an income statement for the year using variable costing. $2.$ Prepare an income statement for the year using absorption costing. Complete this question by entering your answers in the tabs below. Prepare an income statement for the year using absorption costing.