Indigo Company, a labor-intensive manufacturer, compiled the following data for the current period: Budgeted Manufacturing Overhead Budgeted Direct Labor Hours Budgeted Direct Labor Cost Budgeted Machine Hours Actual Manufacturing Overhead incurred Actual Direct Labor Hours used Actual Direct Labor Cost incurred $709410 O Overapplied by $184660 O Underapplied by $129410 O Underapplied by $47500 O Overapplied by $47500 200000 hours $321000 100000 machine hours $580000 150000 hours $346000 Assuming that Indigo Company uses direct labor cost as a cost driver, determine the amount of overapplied or underapplied overhead for the current period.

Indigo Company, a labor-intensive manufacturer, compiled the following data for the current period: Assuming that Indigo Company uses direct labor cost as a cost driver, determine the amount of overapplied or underapplied overhead for the current period. Overapplied by $184660 Underapplied by $129410 Underapplied by $47500 Overapplied by $47500