When the amount of overheads absorbed is less than the amount of overheads incurred, it is called —

CS Executive · Cost and Management Accounting · PYQS · December 2016
When the amount of overheads absorbed is less than the amount of overheads incurred, it is called —
(A) Under-absorption of overheads
(B) Over-absorption of overheads
(C) Proper absorption of overheads
(D) None of the above.

Answer & Explanation:

Correct Answer: Option (A)

Official answer key: (A).

Topics: Cost Accounting

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic