Why does water level drop when floating ice sinks in a denser liquid?

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anigeo
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my textbook says that when a piece of ice is floating in a liquid the (water+liquid) level drops down if the density of ice(water) > density of liquid.
i have no idea how it happens.please help me.
 
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Water has a higher density than ice, so your assumption is impossible.
 
Please quote the textbook exactly. There are some subtleties they may not be coming through.