Determining how much manufacturing overhead is overallocated or underallocated is done:

Question

Quizplus · Accepted Answer

Manufacturing overhead is typically allocated based on estimates at the beginning of the period, and the actual amount incurred is not known until the end of the period. Therefore, determining how much manufacturing overhead is overallocated or underallocated can only be done at the end of the period after all actual costs have been incurred and accounted for.

Determining How Much Manufacturing Overhead Is Overallocated or Underallocated Is