Acapulco Corporation, which applies manufacturing overhead on the basis of machine-hours, has provided the following data for its most recent year of operations. The estimates of the manufacturing overhead and of machine-hours were made at the beginning of the year for the purpose of computing the company's predetermined overhead rate for the year. The overhead for the year was:

Select one:

a. $732 underapplied

b. $1,348 underapplied

c. $732 overapplied

d. $1,348 overapplied