RED is the general manager for RJ Chemical Supply Company. The following is the company's gross profit data for November, in thousands of pesos: Actual Budget Sales P 14.005 P 12,600 Cost of goods sold 11.323 9.850 Gross profit P 2.682 P 2.750 Before receiving the statement, RED knew that sales were above budget for the month and that the effect of recent price increases on most products would be realized this month. Upset on finding that income results were below budget while sales were more than 10% above budget, RED asked the Accounting Department for an explanation. The Accounting Department looked at the detailed budget and found the following data: Product Sales in Sales Cost of Gross Pound (in Price per Goods Sold Profit (in thousands) Pound per Pound Thousands) 2,000 P .975 P.60 P 750 5,000 762 .65 560 7,000 .20 20 0 4,000 1.50 1.14 1.440 18,000 P 2.750 (P 2,750 / 18,000 = P 0.1528 budgeted gross profit per pound)Product Sales in Pound Sales Price per Sales in Pesos Cost of Goods Gross Profit (in (in thousands) Pound (in thousands) Sold per Pound thousands) 2,845 P .735 P 2,091 P 1,692 P 399 3,280 1.023 3.355 3.240 115 + WNA 7.340 .195 1.431 991 440 4,320 1.650 7,128 5.400 1.728 17.785 P 14.005 P 11.323 P 2.682