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If Factory Overhead is overapplied at the end of the accounting period it means that actual Factory Overhead is more than the Applied Inventory it

If Factory Overhead is overapplied at the end of the accounting period

it means that actual Factory Overhead is more than the Applied Inventory

it should be carried forward to next year

it will understate COGS and should be corrected

it will overstate COGS and should be corrected

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