Sable Company uses direct labor hours as the cost allocation base for allocating manufacturing overhead. At the end of the period overhead is underallocated. This implies that. A) Overhead costs were lower than expected. B) Overhead costs were higher than expected or less labor hours were worked than expected. C) Cost of goods sold should be adjusted downward when the overhead account is closed. D) Overhead costs were lower than expected and more labor hours were worked than expected.
+4
Answers (2)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Sable Company uses direct labor hours as the cost allocation base for allocating manufacturing overhead. At the end of the period overhead ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Home » Business » Sable Company uses direct labor hours as the cost allocation base for allocating manufacturing overhead. At the end of the period overhead is underallocated. This implies that. A) Overhead costs were lower than expected.