The law firm, Keen and Sholer, assigns overhead to clients based on direct labor hours using normal costing. During June, they compiled the following information regarding hours worked and costs: Actual direct labor hours 900 hours Actual overhead costs $7,200 Estimated direct labor hours 1,000 hours Estimated overhead costs $9,000 For June, overhead was: $720 overapplied. $720 underapplied. $900 underapplied. $900 overapplied. None of the answer choices is correct.