If the allocated amount of indirect costs in an accounting period is larger than the actual (incurred) amount, the overhead cost (or overhead indirect cost, manufacturing overhead cost) difference (variance) is overallocated. If the allocated amount of indirect costs in an accounting period is smaller than the actual (incurred) amount, the overhead cost (or overhead indirect cost, manufacturing overhead cost) difference (variance) is underallocated.

Underallocated/(Overallocated) manufacturing overhead Formula

= Allocated manufacturing overhead - Actual manufacturing overhead

= Underallocated/(Overallocated) manufacturing overhead (manufacturing overhead) cost

Is "General overhead" in the phrase (General overhead is allocated to each job based on 160% of direct labor cost.) another way to say "Manufacturing overhead and/or Manufacturing overhead cost"?