FMC is evaluating the performance of product #132 to determine if its product manager, Ian Tan has met his performance targets for the year. The budget data relating to sales/production levels of 11,000 units for 2014 are shown below. Sales price $23.85 per unit Variable costs: Manufacturing $12 per unit Administrative $3 per unit Selling $1 per unit Fixed costs: Manufacturing $6 per unit Administrative $1 per unit Ian's performance targets are (1) to meet the budgeted sales units for 2014 with a unit profit margin of 5%; and (2) ensure that costs variances do not exceed 5% of budgeted amounts. The actual sales figure for 2014 w as $281, 750 for 11, 500 units of product #132 sold. All actual fixed costs were equal to budgeted amounts. The total actual variable manufacturing, administrative and selling costs were $138, 575, $33, 825 and $12, 050 respectively. Required: (a) Prepare a flexible budget report that includes the variance for each revenue/cost item for product #132 for 2014. Label your variance as favourable (F) or unfavourable (U) where appropriate. (b) Do you think Ian has performed well in 2014? Explain. (c) Comment if your answer in part (b) would be different if you knew that Ian participated in the budgeting exercise and had a significant influence on the setting of his performance targets for 2014? Explain. (d) Does a manager like Ian, have total control over all revenue and costs? Discuss