A Company Assigned Overhead to Work in Process

question 101

Multiple Choice

A company assigned overhead to work in process. At year end what does the amount of overapplied overhead mean?

• A) The overhead assigned to work in process is greater than the estimated overhead costs.
• B) The overhead assigned to work in process is less than the estimated overhead costs.
• C) The overhead assigned to work in process is less than the actual overhead.
• D) The overhead assigned to work in process is greater than the overhead incurred.

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Definitions:

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A chemical substance used to break up and remove dirt and grease from fabrics, commonly in the form of powder or liquid.