Joy Co used a predetermined overhead rate last year of $2 per direct labour hour based on an estimate of 25,000 direct labour hours to be worked during the year. Actual costs and activity during the year were: What was the under- or overapplied overhead last year? $1,000 overapplied. $1,000 underapplied. \$2,000 overapplied. $3,000 overapplied