Winna #1 absorbs overhead to jobs on the basis of direct labour at the rate of 80% of direct labour. The direct material and direct labour were $23,385 and $25,125 and the actual overhead cost was $22,606. Calculate the over or under absorption for the year: O a. over absorbed by $2,506 O b. under absorbed by $2,506 Oc under absorbed by $3,898 O d. over absorbed by $3,898