At the end of the year, factory overhead applied was $3,734,000. Actual factory overhead was $3,171,000. Closing over/underapplied overhead into Cost of Goods Sold would cause net income to a. increase by $563,000 b. decrease by $563,000 c. increase by $1,126,000 O d. decrease by $1,126,000

At the end of the year, factory overhead applied was $3,734,000. Actual factory overhead was $3,171,000. Closing over/underapplied overhead into Cost of Goods Sold would cause net income to a. increase by $563,000 b. decrease by $63,000 c. increase by $1,126,000 d. decrease by $1,126,000