Acme Company applies manufacturing overhead to jobs using an overhead rate based on direct labor hours. During the current year, actual direct labor hours were $60,750$ and actual manufacturing overhead costs were $$542,000.$ Before the year started, Acme estimated that its annual direct labor hours would be $61,900$ and its manufacturing overhead costs would be $$458,060.$ Acme's manufacturing overhead costs for the year are:

overapplied by $$92,450.$

underapplied by $$92,450.$

overapplied by $$83,940.$

underapplied by $$83,940.$