Why would a company choose to use one method over another

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Question - There are two methods for disposing of overapplied and underapplied overhead. What are they and how do they work? Why would a company choose to use one method over another? What effect does disposing of overapplied overhead to cost of goods sold have on cost of goods sold (increase/decrease)? What about underapplied overhead?

Reference no: EM133108823

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