35. Now assume that the overapplied overhead is prorated as follows: $800 to Work in Process $1,200 to Finished Goods $3,000 to Cost of Goods Sold Prorating (our Method #2) the Overapplied Overhead would yield a (higher or lower) income figure for the company than if the $5,000 was totally charged to Cost of Goods Sold for the period? a. Higher b. Lower

36. By how much would income change if we prorate the $5,000 compared to charging it totally to Cost of Goods Sold. You will need to refer to Question 35 to answer this question. a. $3,200 b. $3,000 c. $2,800 d. $2,000 e. $800