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What is the result for BX company

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Reference no: EM132622053

Problem 1: Overheads are applied to work-in-process for calculating cost of manufacturing. BX company underestimated the manufacturing overhead budget and underestimates the activity base for the year, what is the result?

Select one:

a. Over-applied factory overhead.

b. Under-applied factory overhead.

c. Overstated finished goods inventory.

d. Understated work in process inventory.

e. Cannot be determined by the information given.

Reference no: EM132622053

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