Flexible budget, working backward. The Clarkson Company produces engine parts for car manufacturers. A new accountant intern at Clarkson has accidentally deleted the company's vanance analysis calculations for the year ended December 31, 2017. The following table is what remains of the data. Insert Home Page Layout Formulas Data Review View B D E Performance Report, Year Ended December 31, 2017 1 2 Flexible-Budget Flexible Budget Sales-Volume Variances Variances 3 4 Units sold 5 Revenues (sales) 6 Variable costs 7 Contribution margin 8 Fixed costs 9 Operating income Actual Results 130.000 $715,000 515.000 200.000 140,000 $ 60.000 Static Budget 120,000 $420,000 240,000 180,000 120,000 $ 60,000 Required: 1. Calculate all the required variances. (If your work is accurate, you will find that the total static budget variance is $0.) Home Insert E Page Layout Formulas Data Review View B D Performance Report, Year Ended December 31, 2017 1 2 Flexible-Budget Variances Flexible Budget Sales-Volume Variances 3 4 Units sold 5 Revenues (sales) 6 Variable costs 7. Contribution margin 8 Fixed costs 9 Operating income Actual Results 130,000 $715,000 515.000 200,000 140,000 $ 60000 Static Budget 120,000 $420,000 240,000 180,000 120,000 $ 60,000 1. Required: Calculate all the required variances. (if your work is accurate, you will find that the total static- budget variance is $0.) 2. What are the actual and budgeted selling prices? What are the actual and budgeted variable costs per unit? 3. Review the variances you have calculated and discuss possible causes and potential problems. What is the important lesson learned here