Question: Overheads will always be over-absorbed when A actual output is higher than budgeted output. B actual overheads incurred are higher than the amount absorbed. C

Overheads will always be over-absorbed when

A actual output is higher than budgeted output.
B actual overheads incurred are higher than the amount absorbed.
C actual overheads incurred are lower than the amount absorbed.
D budgeted overheads are lower than the overheads absorbed.

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