Zelens Plc manufactures toy cars. The company operates a standard marginal costing system and values inventory at standard cost. The following information relates to the company:

Standard Cost Card - Toy Car f per car Selling price 186 Direct material 1 material per unit 31 Direct labour 10 hours @10 per hour 100 Production overhead 37 Contribution 18 Actual and budgeted activity levels in units Budget Actual Sales 30,000 31,000 Production 30,000 32,000 Actual sales revenue and variable costs E Sales 5,890,000 Direct materials (purchased and used) 1,008,000 Direct labour hours (288,000) 3,024,000 Variable production overhead 1,152,000