Overallocated Manufacturing Overhead

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Overallocated Manufacturing Overhead is the amount of manufacturing overhead allocated to jobs is more than the amount of manufacturing overhead costs actually incurred; results in jobs being overcosted.

Definitions

According to Managerial Accounting by Braun, Tietz (5th edition),

Overallocated Manufacturing Overhead. The amount of manufacturing overhead allocated to jobs is more than the amount of manufacturing overhead costs actually incurred; results in jobs being overcosted.
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