Which of the following statements is(are) true regarding the application of manufacturing overhead?
(a) Manufacturing overhead is only recorded on the job cost sheets when financial statements are prepared or a job is completed.
(b) Overapplied overhead occurs when the actual overhead costs incurred during a period are greater than the overhead costs applied during the period.
a. Only a is true.
b. Only b is true.
c. Both of these are true.
d. Neither of these is true.
