A company applies overhead at a rate of 160% of direct labor cost. Actual overhead cost for the current period is $920,000, and direct labor cost is $530,000. Determine whether there is over- or underapplied overhead using the T-account below. Factory Overhead Actual overhead Overapplied overhead A Record the entry to close over- or underapplied overhead. te: Enter debits before credits. Transaction General Journal Debit Credit 1 A company's Factory Overhead account shows total debits of $612,000 and total credits of $731,000 at the end of the year. Determine whether there is over- or underapplied overhead using the T-account below. Factory Overhead