Let me see if I can explain this one clearly, since it is not entirely expected behavior.
1. Once the phone is installed, anytime the phone is active (receive a call, or make a call), the original audio source on the radio is muted (in the case of a CD playing, it is paused), and the radio plays the phone audio through your speakers. [Note that this is not the exact same behavior as pressing the mute buttons.] The volume control on the radio adjusts the phone volume. Note that if the radio was off when the phone was activated, it will come on by itself, even if the key is off.
2. When the call is ended, the radio switches back to whatever it was doing before. (If it was off before, it goes back off. If a CD was playing, it resumes from the point it was at before the call. If the radio was on, it goes back to radio.)
3. Each time the car is started, the manual mute buttons on the radio and the steering wheel work the same way they always had. After the first time the phone is used (call made or received), the manual mute buttons stop working (other than to display "no phone." Using the phone itself will still mute/switch the audio.