Manufacturing overhead was estimated to be $$188,100$ for the year along with an estimated $20,900$ direct labor hours. Actual manufacturing overhead was $$176,500,$ and actual direct labor hours were $19,000.$ Which of the following would be correct?

Multiple Choice

Overhead is underapplied by $$8,600.$

Overhead is underapplied by $$5,500.$

Overhead is overapplied by $$4,700.$

Overhead is overapplied by $$8,600.$