2 I 2 points When developing the overhead rate, an accountant mistakenly classi?ed an overhead costas a period expense. There were no balances in Work in Process Inventory and inFinished Goods Inventory at the beginning of the year. There were balances in Work inProcess Inventory and in Finished Goods Inventory at the end of the year. As a result ofthe mistake, closing inventories and total expenses for the year were overstated. closing inventories and total expenses for the year were understated. closing inventories were overstated and total expenses for the year were understated. closing inventories were understated and total expenses for the year were overstated.Hide Feedback