Culpepper Corporation had the following inventories at the beginning and end of January:

The following additional manufacturing data were available for the month of January.

Culpepper Corporation applies factory (manufacturing) overhead at a rate of 40% of direct manufacturing labor cost, and any overallocated or underallocated factory overhead is deferred until the end of the year. Culpepper’s balance in its factory overhead control account at the end of January was
1. $15,000 overallocated.
2. $15,000 underallocated.
3. $5,000 underallocated.
4. $5,000 overallocated.

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Finished goods Work in process Direct materials January 1 $125,000 235,000 134,000 January 31 $117,000 251,000 124,000