Item 2Item 2 Toms Tool & Die uses a predetermined factory overhead rate based on machine-hours. For August, Toms budgeted overhead was $352,500 based on a budgeted volume of 47,000 machine-hours. Actual overhead amounted to $322,000 with actual machine-hours totaling 42,500.

Required: What was over- or underapplied manufacturing overhead in August? (Do not round intermediate calculations.)