Woodman Company applies factory overhead on the basis of direct labor hours. Budget and actual data for direct labor and overhead for the year are as follows: Direct labor hours Budget 150,000 Actual Factory overhead costs 160,000 $450,000 $440,000 The factory overhead for Woodman for the year is: A. underapplied by $10,000. B. overapplied by $10,000. C. underapplied by $20,000. D. overapplied by $40,000. Reset Selection