The Existence of Under- or Overapplied Overhead at the End

question 31

Multiple Choice

The existence of under- or overapplied overhead at the end of the year:

• A) requires an adjustment to Cost of Goods Sold.
• B) indicates that an error has been made.
• C) requires a retroactive adjustment to the cost of all jobs completed.
• D) is written off as a bad estimate expense.

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Definitions:

Competitor's Product

A product that is offered by one company that serves as an alternative or rival to another company's product in the market.

Standing-Room-Only Close

A close whereby a salesperson suggests that if a prospect does not act now he or she may not be able to buy in the future, thus motivating the prospect to act immediately.

Summary of Benefits Close

A sales strategy where the salesperson summarizes the key benefits of the product or service, emphasizing its value to encourage purchase.

Question Close

A type of close wherein the salesperson asks questions to generate a decision point.