Look back to the example of Allerdale in section 15.6. The following information relates to the month of July which had the same budgeted profit as that of June but saw an unexpected increase in output and sales to 2,550 units. The following tables set out the budgeted and actual profit. Prepare a reconciliation of the budgeted profit and actual profit, based on variances.

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Budgeted profit for output of 2,500 units Sales 2,500 at 30 Materials 2,500 x 2 sq metres x 1.80 Labour 2,500 2 hours x 8 Variable overhead 2,500 2 hours x 2 Fixed overhead Budgeted profit Actual profit for output of 2,550 units Sales 2,550 at 31 Materials (5,483 sq metres) Labour (5,008 hours) Variable overhead Fixed overhead Actual profit 9,000 40,000 10,000 10,000 10,417 38,062 11,518 11,000 75,000 69,000 6,000 79,050 70,997 8,053