Tiffany charges manufacturing overhead to products by using a predetermined application rate, computed on the basis of labor hours. The following data pertain to the current year. Budgeted manufacturing overhead: $3,750,000 Actual manufacturing overhead: $ 3,767,500 Budgeted labor hours: 125,000 53 Actual labor hours: 126,500 Which of the following choices is the correct status of manufacturing overhead at year-end? Multiple Choice Overapplied by $27,500. Underapplied by $27,500. Overapplied by $45,000. Overapplied by $17,500. Underapplied by $17,500.