Sanchez Consulting applies overhead to consulting projects based on the direct labor hours charged by employees to each job. Selected data for the firm follow:

Budgeted overhead for the year $$150,000$

Budgeted direct labor cost for the year $($@ $$25/$hour$)375,000$

Actual overhead for November $10,000$

Actual direct labor cost for November $(1,100$ hours$)28,000$

What is the amount of over$-$ or underapplied overhead for the month of November?

Select one:

a$.$

$$1,000$ underapplied

b$.$

$$1,000$ overapplied

c$.$

$$1,200$ underapplied

d$.$

$$1,200$ overapplied