QUESTION 14 When job costing is in use, under-applied overhead: A. Represents the cost of manufacturing overhead that relates to unfinished jobs. B. is indicated by a credit balance remaining at year-end in the Manufacturing Overhead account. OC is closed out at year-end into the Cost of Goods Sold account if the amount is not material. OD. Results when actual overhead costs incurred during a year are less than the amounts applied to individual jobs.