Gough's Manufacturing had underapplied overhead totaling $5,000 during the period.To dispose of this underapplied overhead,Gough should

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Underapplied overhead means that actual overhead costs were greater than the allocated overhead costs. To dispose of this underapplied overhead, Gough should increase the cost of goods sold by $5,000 to reflect the additional costs that were not initially included in the cost of goods sold calculation.

Gough's Manufacturing Had Underapplied Overhead Totaling $5,000 During the Period