4) XYZ Company applies overhead to jobs using direct labor cost as an activity. For the current year, XYZ's estimated overhead was $432,000 and estimated direct labor cost was $720,000. Actual overhead costs for the year amounted to $420,000 and actual direct labor costs for the year were $704,000. For the year, overhead was:

over-applied by $2,400

under-applied by $12,000

under-applied by $1,448

under-applied by $2,400

over-applied by $12,000

over-applied by $1,448