Answer the Following Questions Using the Information Below

Multiple Choice

Answer the following questions using the information below:
Roiann and Dennett Law Office employs 12 full-time attorneys and 10 paraprofessionals. Direct and indirect costs are applied on a professional labor-hour basis that includes both attorney and paraprofessional hours. Following is information for 20X3:

-When using a normal costing system, year-end accounting records will show that indirect costs are:

A) applied improperly
B) underallocated
C) overbudgeted
D) overallocated