Olympic Manufacturing applies factory overhead at a rate of 160% of direct labor. In the month of September, the company used $250,000 of direct materials and $750,000 in direct labor for the period. Olympic Manufacturing incurred actual factory overhead cost of $1,150,000. Record the journal entries necessary for only applying applied overhead for the period and the adjustment of the overhead account for the month of September. Also indicate whether factory overhead was under- or over-applied. (13 points)

Circle whether over - or under-applied: Under applied or Over Applied