XYZ Ltd makes widgets. It has no opening inventory and the closing inventory is 200 units. The budgeted and actual fixed manufacturing costs are $750 and the budgeted and actual production is 1,500 units.

The variable manufacturing cost was $1 per unit and the selling price was $6 per unit. Sales commissions of 2.5% of sales revenue are paid to sales people.

Other non-manufacturing fixed costs total $1,000.

What is the difference in profit between variable and absorption costing?