Overhead is applied on the basis of machine hours . It takes 3 machine hours...
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Accounting
Overhead is applied on the basis of machine hours . It takes 3 machine hours to produce a large doll house and 2 machine hours to produce a small doll house. EDHC produces 2,000 large doll houses and 10,000 small doll houses in a year. Total manufacturing overhead is $780,000 . Under the traditional job order costing system, what is the cost of one small doll house (rounded to nearest dollar)
Note: if $105 how do you get it. Since I get 60 as the answer.
a. $45
b. $ 105
c. $110
d. $30
e. $75
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