1. Jane Neff believes that the cost of goods manufactured schedule in job order cost accounting. Is Jane correct? Explain.
2. Matt Litkee is confused about under- and overapplied manufacturing overhead. Define the terms for Matt, and indicate the balance in the manufacturing overhead account applicable to each term.
3. "At the end of the year, under- or overapplied overhead is closed to Income Summary." Is this correct? If not, indicate the customary treatment of this amount.