Underapplied overhead
i. Describe how overhead may be underapplied.
ii. Assume that underapplied overhead is treated as an adjustment to cost of goods sold. Explain why an under application of overhead increases cost of goods sold.

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The Answer of Underapplied overhead i. Describe how overhead may be underapplied. ii. Assume that underapplied overhead is treated as an adjustment to cost of goods sold. Explain why an under application of overhead increases cost of goods sold.

Underapplied Overhead I. Describe How Overhead May Be Underapplied