Chapman, Inc., sells a single product, Zud, which has a budgeted selling price of $43 per unit and a budgeted variable cost of $31 per unit. Budgeted fixed costs for the year amount to $54,500. Actual sales volume for the year (66,000) fell 12,500 units short of budgeted sales volume. Actual fixed costs were $55,500. With everything else held constant, what impact did the shortfall in volume have on profitability for the year?