XYZ Company uses a job costing system and applies manufacturing overhead using a predetermined overhead rate based on direct labor hours. Information for the current year is as follows: Estimated manufacturing overhead OMR65,000; Actual manufacturing overhead OMR70,000; Estimated direct labor hours 20,000; Actual direct labor hours 22,000. The amount of over- or underapplied overhead for the year was Select one:

a. OMR1,500 underapplied

b. None of the answers given

c. OMR5,500 overapplied

d. OMR5,000 overapplied

e. OMR5,000 underapplied

f. OMR1,500 overapplied