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 36,000 machine-hours and incur $153,000 in manufacturing overhead cost. The following transactions occurred during the year:

a.	Raw materials requisitioned for use in production, $190,000 (80% direct and 20% indirect).
b.	The following costs were incurred for employee services:

Direct labor	$	160,000
Indirect labor	$	18,000
Sales commissions	$	10,000
Administrative salaries	$	25,000

c.	Heat, power, and water costs incurred in the factory, $42,000.
d.	Insurance costs, $10,000 (90% relates to factory operations, and 10% relates to selling and administrative activities).
e.	Advertising costs incurred, $50,000.
f.	Depreciation recorded for the year, $60,000 (85% relates to factory operations, and 15% relates to selling and administrative activities).
g.	The company used 40,000 machine-hours during the year.
h.	Goods that cost $480,000 to manufacture according to their job cost sheets were transferred to the finished goods warehouse.
i.	Sales for the year totaled $700,000. The total cost to manufacture these goods according to their job cost sheets was $475,000.

Required:
1.	Determine the underapplied or overapplied overhead for the year.