Randall Company manufactures products to customer specifications. A job costing system is used to accumulate production costs. Factory overhead cost was applied at 120% of direct labor cost. Selected data concerning the past year's operation of the company are presented below. January 1 $ 89,000 78,000 127,000 December 31 $ 52,000 54,000 112,000 Direct materials Work in process Finished goods Other information Direct materials purchases Cost of goods available for sale Actual factory overhead costs $ 336,000 964,000 272,000 The amount of underapplied or overapplied overhead is: $72,000 overapplied. $72,000 underapplied. $32,000 overapplied. $32,000 underapplied. (0 $0