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Work in Process
Inventory that includes materials that have been partially completed but are not yet finished goods.
Job-Order Costing System
A costing methodology that assigns costs to each specific product or job, making it ideal for customized orders.
Overapplied
A situation where the allocated or applied costs exceed the actual expenses, often relating to overhead costs in manufacturing processes.
Underapplied
Refers to a situation where the actual manufacturing overhead costs are more than the allocated overhead costs to products or services.
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