Winifred Company applies overhead on the basis of machine hours. Given the following data, compute overhead applied and the under- or overapplication of overhead for the period:

Estimated annual overhead cost $1,600,000

Actual annual overhead cost $1,575,000

Estimated machine hours 400,000

Actual machine hours 390,000

(1) How much overhead was applied?

(2) Was overhead under or over applied?