Sunland Manufacturing produces pumps for residential swimming pools. For the year, management estimated that total manufacturing overhead would be $1641500. Management decided to use direct labor hours to apply manufacturing overhead and budgeted 67000 direct labor hours. The balance in over- or underapplied overhead is deemed to be small. The following information was compiled before an adjustment had been made to close Manufacturing Overhead Control: Raw Materials Inventory Work in Process Inventory Finished Goods Inventory Actual direct labor hours used Actual overhead incurred $304640 $338030 $756380 72000 $1434540 For the year, manufacturing overhead was $329460 underapplied $329460 overapplied $106980 underapplied $106980 overapplied