The following accounts are from last years books at Sharp Manufacturing:

Raw Materials
Bal	0	(b)	157,200
(a)	172,000
	14,800

Work In Process
Bal	0	(f)	522,800
(b)	133,600
(c)	171,200
(e)	218,000
	0

Finished Goods
Bal	0	(g)	476,000
(f)	522,800
	46,800

Manufacturing Overhead
(b)	23,600	(e)	218,000
(c)	27,600
(d)	159,200
			7,600

Cost of Goods Sold
(g)	476,000

Sharp uses job-order costing and applies manufacturing overhead to jobs based on direct labor costs. What is the manufacturing overapplied or underapplied for the year?

Multiple Choice

• $7,600 underapplied

• $7,600 overapplied

• $27,600 underapplied

• $27,600 overapplied