Jaguar Machines uses two rates to apply overhead to jobs. One rate is based on material cost, the other on machine time. The following data relate to 2014.

Budget:

Materials-related overhead P1,280,000

Machine-related overhead 2,200,000

Cost of materials used on jobs 3,200,000

Machine hours 400,000

Data related to three jobs worked in June follow:

Job X2 Job X3 Job X4

Materials P 42,000 P 164,000 P 78,000

Direct labor 32,000 26,000 36,000

Machine hours 17,000 9,000 5,800

Actual materials related to overhead was P118,400 and actual machine related overhead was P185,600. The total amount of overhead variance is

A.P4,800 under-applied

B.P15,500 over-applied

C.P10,700 under-applied

D.P15,500 under-applied