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. Performance Report Year Ended December 31, 2017 Flexible-Budget Flexible Variances Budget Actual Results 103,000 Static Sales-Volume Variances Budget 96,000 Units sold Revenues (sales) $ $ 695,250 480,000 345,600 216,000 Variable costs Contribution margin 215,250 200,650 129,600 115,000 Fixed costs $ 14,600 $ 14,600 Operating income 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? Flexible Actual Results 103,000 Flexible-Budget Variance Budget 103000 0 $ Units sold Revenues (sales) Variable costs Contribution margin 695,250 480,000 215,250 200,650 Fixed costs $ 14,600 Operating income