The following Information is available for Lock-Tite Company, which produces special-order security products and uses a job order costing system. Inventories Raw materials Work in process Finished goods Activities and information for May Raw materials purchases (paid with cash) Factory payroll (paid with cash) Factory overhead Indirect materials Indirect labor Other overhead costs: Sales (received in cash) Predetermined overhead rate based on direct labor cost April 30 $ 47,000 11,000 67,000 May 31 $ 60,000 22,900 43,688 218,000 361,000 23,000 88,000 128,000 1,480,000 88% Determine whether there is over or underapplied overhead. Prepare the journal entry to allocate (close) overapplied or underapplied overhead to Cost of Goods Sold.