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0 Jan 4 Ellyn's Doll House Company (EDHC) manufactures large and small doll houses. Historically, EDF DHC) manufactures large and small doll houses. Historically, EDHC

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0 Jan 4 Ellyn's Doll House Company (EDHC) manufactures large and small doll houses. Historically, EDF DHC) manufactures large and small doll houses. Historically, EDHC has utilized a traditional JOD Order Costing system to allocate manufacturing overhead The many's managers are considering switching to an Active Based Costing System. EDHC has the following Direct Labor and Direct Material Costs for a large doll house and a small doll house Direct Materials Direct Labor Large SSO 25 Small $30 3. 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)? a. $45 b. $105 c. $110 d. $30 e. $75

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