Comparing ABC and Plantwide Overhead Cost Assignments Wellington Chocolate Company uses activity-based costing (ABC). The controller identified two activities and their budgeted costs: Setting up equipment Other overheard Setting up equipment is based on setup hours, and other overhead is based on oven hours. Wellington produces two products, Fudge and Cookies. Information on each product is as follows: $260,000 $6,200,000 Fudge 8,000 4,000 5,000 Cookies 445,000 1,000 35,000 Units produced Setup hours Oven hours Required: Round your answers to the nearest whole dollar, unless otherwise directed. 1. Calculate the activity rate for (a) setting up equipment and (b) other overhead. per setup hour a. Setting up equipment b. Other overhead 2. How much total overhead is assigned to Fudge using ABC? per oven hour