Exercise 7-11 Comparing ABC and Plantwide Overhead Cost Assignments The Mackinaw Chocolate Company uses ABC. The controller identified two activities and their budgeted costs: Setting up equipment Other overhead OBJECTIVE 2 $ 76,300 175,000 Setting up equipment is based on setup hours, and other overhead is based on oven hours. Mackinaw produces two products: fudge and cookies. Information on each product is as follows: Units produced Setup hours Oven hours Fudge 2,500 1,000 250 Cookies 12,500 250 1,250