The costing records provide the following information. Budgeted overheads cost: $32\,000. Budgeted direct labour hours: 4\,000. Actual overheads cost incurred: $34\,000. Actual direct labour hours worked: 3\,900. What is the amount of over-absorption or under-absorption of overheads?
- A$2\,000$ under-absorbed
- B$2\,000$ over-absorbed
- C$2\,800$ under-absorbed
- D$2\,800$ over-absorbed