Adams Manufacturing allocates overhead to production on the basis of direct labor costs. At the beginning of the year, Adams estimated total overhead of $399,000; materials of $400,000 and direct labor of $210,000. During the year Adams incurred $422,400 in materials costs, $418,600 in overhead costs and $214,000 in direct labor costs. Compute the amount of under-or overapplied overhead for the year. ok Multiple Choice $12,000 overapplied. $19,600 overapplied. $12,000 underapplied. o $19,600 underapplied. o $3,800 underapplied