The accountant for Brilliant Tools Ltd applies overhead based on machine hours. The budgeted overhead and machine hours for the year are - 1,30,000…

The accountant for Brilliant Tools Ltd applies overhead based on machine hours. The budgeted overhead and machine hours for the year are - 1,30,000 and 8,000 hours, respectively. The actual overhead and machine hours incurred were - 1,37,500 and 10,000 hours. The cost of goods sold and inventory data compiled for the year is as follows: Direct Material 25,000 Cost of Goods Sold 2,25,000 Units: WIP 50,000 and Finished Goods 75,000 What is the amount of over/under absorbed overhead for the year?