Please explain the correct approach for solving this general accounting question.

A company uses a predetermined overhead rate based on machine hours. At the beginning of the year, estimated factory overhead was $720,000 and estimated machine hours were 90,000. During the year, actual overhead costs were 5745,000 and actual machine hours were 92,500. The journal entry to apply factory overhead for the year would include a: A. debit to Factory Overhead for $745,000. B. credit to Factory Overhead for $720,000. C. credit to Factory Overhead for $740,000. D. debit to Factory Overhead for $740,000