If a company closes any underapplied or overapplied overhead directly to the Cost of Goods...

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Accounting

If a company closes any underapplied or overapplied overhead directly to the Cost of Goods Sold account, then the Cost of Goods Manufactured will ____________________ if manufacturing overhead is underapplied for the period.

a. Increase

b. Decrease

c. Stay the same

d. Cannot be determined

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