Question

Using normal costing, which of the following is false about actual overhead?Select one:a. It is separated into many smaller accounts, such as indirect labor, supplies, etc.b. None of these.c. It is reconciled at the end of a period with applied overhead.d. Actual overhead is recorded to the overhead control account during the period.e. All of these are correct.

Answer 1

Answer:

d. Actual overhead is recorded to the overhead control account during the period.

Explanation:

Actual overhead -

It is the indirect cost of the factory which have been incurred .

The example of  actual overhead costs are as follows -  

Factory depreciation  ,  Equipment maintenance  , Factory rent  , Production supplies   ,  Factory property taxes  , Production supervisor salaries

hence , from the given options , the false statement is ( d ) .