Level of Activity

                                                              June                  July           August

Machine hours                                      46,500               62,000        51,150

Total factory overhead costs                $ 214,700          $ 236,400

The factory overhead costs above consist of indirect materials, rent and maintenacne. The company has analyzed theses costs at the 46,500 machine hours level of activity as follows:

Indirect material (variable)     $51,150

Rent (fixed)                            $123,000

Maintenance (mixed)              $ 40,550

Total factory overhead costs  $ 214,700

Platinum (above) is considering using a predetermined overhead rate based on capacity

capacity of the factory                                 64,000 Machine hours

Masnufacturing OH cost at the capacity        $ 256,000

If Platinum used the capacity based predetermined rate to apply manufacturing overhead cost, calculate the over or
under-applied overhead cost for the month of July: