Adams Manufacturing allocates overhead to production on the basis of direct labor costs. At the beginning of the year, Adams estimated total overhead of $381,600; materials of $402,000 and direct labor of $212,000. During the year Adams incurred $404,600 in materials costs, $400,600 in overhead costs and $216,000 in direct labor costs. Compute the amount of under- or overapplied overhead for the year. Multiple Choice $11,800 overapplied. $19,000 overapplied. $11,800 underapplied. $19,000 underapplied. $4,000 underapplied.