i Requirements 1. Prepare both conventional (absorption costing) and contribution margin (variable costing) income statements for Carl's Crazy Eyewear for the year ended December 31, 2018. 2. Which statement shows the higher operating income? Why? 3. Carl's Crazy Eyewear's marketing vice president believes a new sales promotion that costs $90,000 would increase sales to 170,000 goggles. Should the company go ahead with the promotion? Give your reasoning. Print Done V ILLICIIU TOTOUUOIUL LOCUL A Data Table - X Number of goggles produced Number of goggles sold 200,000 155,000 Sales price per unit 32 Variable manufacturing cost per unit 16 Sales commission cost per unit Fixed manufacturing overhead 600,000 230,000 Fixed selling and administrative costs Print Done Done The 2018 data that follow pertain to Carr's Crazy Eyewear, a manufacturer of swimming goggles. (Carl's Crazy Eyewear had no beginning Finished Goods Inventory in January 2018.) (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 Carl's Crazy Eyewear for the year ended December 31, 2018 nearest cent.) Begin by preparing Cart Crazy Eyewear's conventional (absorption costing) income statement for the year ended December 31, 2018, Carl's Crazy Eyewear Income Statement (Absorption Costing) Year Ended December 31, 2018 Contribution Margin Cost of Goods Sold Fixed Costs Gross Profit Net Sales Revenue Selling and Administrative Costs Variable Costs