The Liberty Company produces engine parts for car manufacturers. A new accountant intern at Liberty has accidentally deleted the calculations on the company's variance analysis calculations for the year ended December 31, 2017. The following table is what remains of the data. (Click the icon to view the data.) Read the requirements. Requirement 1. Calculate all the required variances. (If your work is accurate, you will find that the total static-budget variance is $0.) Begin with the flexible budget columns, then the sales volume variance column. Label each variance as favorable (F) or unfavorable (U). (For variances with a $0 balance, make sure to enter "O" in the appropriate field. If the variance is zero, do not select a label. Round your answers to the nearest whole dollar.) Actual Flexible-Budget Results Variance 110,000 Units sold Revenues (sales) $ 687,500 475,000 Variable costs Contribution margin. 212,500 173,700 Fixed costs 38,800 Operating income Flexible Budget Data table Performance Report Year Ended December 31, 2017 Actual Flexible-Budget Results Variances Units sold 110,000 Revenues (sales) 687,500 Variable costs 475,000 Contribution margin 212,500 173,700 Fixed costs 38,800 Operating income. Flexible Sales-Volume Static Budget Variances Budget 92,000 294,400 165,600 128,800 90,000 38,800 Requirements 1. 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