The Winchester Company estimates that its overhead costs will amount to $466,400 and the companys manufacturing employees will work 88,000 direct labor hours during the current year. If actual overhead costs for the year amounted to $509,000 and actual labor hours amounted to 93,000, then overhead would be:

overapplied by $42,600.

overapplied by $16,100.

underapplied by $16,100.

underapplied by $42,600.