If Direct Labor for the Month Is $105,000, and Overhead

If direct labor for the month is $105,000, and overhead is applied based on 65% of direct labor dollars, what is the entry to apply overhead?

A) Debit Work-in-Process Inventory $68,250; credit Payroll Payable $68,250
B) Debit Overhead-Applied $68,250; credit Work-in-Process Inventory $68,250
C) Debit Work-in-Process Inventory $68,250; credit Manufacturing Overhead-Applied $68,250
D) Debit Work-in-Process Inventory $105,000; credit Manufacturing Overhead-Applied $105,000