Assume the following: Actual overhead costs equaled estimated overhead. Actual direct labor hours exceeded estimated direct labor hours used to calculate the predetermined overhead rate. If overhead is applied using the predetermined overhead rate, then overhead is
A)$-0-.
B)underapplied.
C)overapplied.
D)indeterminable from the information given.

Question

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The Answer of Assume the following: Actual overhead costs equaled estimated overhead. Actual direct labor hours exceeded estimated direct labor hours used to calculate the predetermined overhead rate. If overhead is applied using the predetermined overhead rate, then overhead is
A)$-0-.
B)underapplied.
C)overapplied.
D)indeterminable from the information given.

Assume the Following: Actual Overhead Costs Equaled Estimated Overhead