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CH 2 KB. If Union Manufacturing estimated manufacturing overhead to be $15,000 and the actual manufacturing overhead is $20,0
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Answer #1

Answer.

manufacturing overhead was under applied

Explanation;

When the estimation of manufacturing overhead differs from actual overhead then it results in under applied or overapplied overhead.

If the actual overhead exceeds what management expects then it is called as under applied overhead as it means that management is estimated less estimation.

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