If Overapplied or Underapplied Overhead Is Material,it Should Be Disposed

question 36

Multiple Choice

If overapplied or underapplied overhead is material,it should be disposed of by allocating it to:

• A)Cost of goods sold and finished goods inventory.
• B)Finished goods inventory and work in process inventory.
• C)work in process inventory,finished goods inventory,and cost of goods sold.
• D)work in process inventory.
• E)Raw materials inventory,work in process inventory,and finished goods inventory.