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Describe the rescue doctrine.
Manufacturing Overhead
All manufacturing costs other than direct materials and direct labor, including costs related to running the factory.
Underapplied Overhead
A situation in which the allocated manufacturing overhead costs are less than the actual overhead incurred, leading to a variance in costing.
Overapplied Overhead
A situation where the allocated manufacturing overhead costs exceed the actual overhead costs incurred, leading to adjustments in financial reporting.
Underapplied Manufacturing Overhead
A situation where the allocated manufacturing overhead costs are less than the actual costs incurred.
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