Ravsten Company uses a job- order costing system. The company applies overhead cost to jobs on the basis of machine - hours. For the current year, the company estimated that it would work 27,000 machine-hours and incur $1.30.950 manufacturing overhead cost. The following transactions occurred during the year: Raw materials requisitioned for use in production, $301,000 (70% direct and 30 % indirect) The following costs were incurred for employee services: Heat power, and water costs incurred in the factory, $46,000. Insurance costs, $22,000 (80 % relates to factory operations, and 25% relates to selling and administrative activities). Advertising costs incurred, $62,000. Depreciation recorded for the year, $72,000 (75% relates to factory operations, and 25% relates to selling and administrative activities) The company used 52,000 machine hours during the year. Good that cost $492,000 to manufacture according to their job cost sheets were transferred to the finished goods warehouse. Sales for the year totaled $724,000. The total cost to manufacture these goods according to their job cost sheets was $487,000. Required: Determine the under applied or over applied overhead for the year. (Round predetermined overhead rate to 2 decimal places.)