Landis Company uses a job order cost system in its manufacturing department Manufacturing overhead is applied to jobs on the basis of direct labor hours. The following estimates were made for the year: Mfg. Department Manufacturing overhead $1,400,000 Direct labor cost 1,200,000 Direct labor hours 100,000 Machine hours 400,000 During January, the job cost sheets showed the following costs and production data: Mfg, Department Direct materials used $128,000 Direct labor cost 135,000 Manufacturing overhead incurred 130,000 Direct labor hours 8,400 Machine hours 34,000 Compute the balance in the Manufacturing Overhead account at the end of January and indicate whether overhead is over- or underapplied. You must show all work.)