The amount by which overhead incurred during a period exceeds the overhead applied to jobs is:

A) Balanced overhead.
B) Predetermined overhead.
C) Actual overhead.
D) Underapplied overhead.
E) Overapplied overhead.

Question

Frank Lindsey · Accepted Answer

Final Answer : D, Explanation :  Underapplied overhead occurs when the actual overhead incurred is greater than the overhead applied to jobs. This means there is a shortfall between the amount of overhead that was expected to be incurred and the amount that was actually incurred, resulting in underapplied overhead.

The amount by which overhead incurred during a period exceeds the overhead applied to jobs is:

A) Balanced overhead.
B) Predetermined overhead.
C) Actual overhead.
D) Underapplied overhead.
E) Overapplied overhead.

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Learning Objectives

Related questions

The amount by which overhead incurred during a period exceeds the overhead applied to jobs is:A) Balanced overhead.B) Predetermined overhead.C) Actual overhead.D) Underapplied overhead.E) Overapplied overhead.

Definitions

Learning Objectives

Learning Objectives

Related questions

The amount by which overhead incurred during a period exceeds the overhead applied to jobs is:

A) Balanced overhead.
B) Predetermined overhead.
C) Actual overhead.
D) Underapplied overhead.
E) Overapplied overhead.