Sawyer Manufacturing Company uses a predetermined overhead rate based on direct labour hours to apply manufacturing overhead to jobs. Last year, the company worked 59,000 actual direct labour hours and used 46,000 machine hours. It incurred $345,000 in OH. The company had estimated that it would work 55,000 direct labour hours using 44,000 machine hours during the year and incur $330,000 of manufacturing overhead cost. What was the company's manufacturing overhead over or under applied for the year?

Multiple Choice

• $9,000 underapplied.

• $9,000 overapplied.

• $15,000 overapplied.

• $15,000 underapplied