Applied vs$.$ Actual Manufacturing Overhead

Process Inventory, Finished Goods Inventory, and Cost of Goods Sold included $$40,000,$$$20,000,$ and $$140,000,$ respectively, of direct labor incurred during the current year.

a$.$ Determine the under applied manufacturing overhead at year$-$end $($assume it is significant$).$

Under$-$applied manufacturing overhead $

b$.$ Prepare a journal entry to record the disposition of the underapplied manufacturing overhead.