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  3. overhead can be over- or under-applied due to actu

Overhead can be over- or under-applied due to actual overhead amounts differing from the budgeted...

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Accounting

Overhead can be over- or under-applied due to actual overhead amounts differing from the budgeted overhead and/or because the volume measure differs from the budgeted volume. Discuss the different ways in which over- or under-applied overhead can be disposed of, and the potential financial implications that arise from using any one of the methods.

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