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In response to a growing awareness of gluten allergies, Sandhill Bakery tried using gluten-free flour in its three most popular cookies. After several attempts and
In response to a growing awareness of gluten allergies, Sandhill Bakery tried using gluten-free flour in its three most popular cookies. After several attempts and a lot of inedible cookies, the company perfected new recipes that yield delicious gluten-free cookies. The costs of producing a batch of 100 cookies are as follows: Assuming no raw material constraints and unlimited demand for cookies, calculate contribution margin per batch for Chocolate Chip, Sugar, Oatmeal Raisin cookies. (Round answers to 2 decimal places, e.g. 52.75.) What type of cookie would maximize the company's contribution margin? Assume that, based on typical customer demand, Sandhill will sell 11,700 batches of chocolate chip cookies, 7,700 batches of sugar cookies, and 9,700 batches of oatmeal raisin cookies. What will the company's contribution margin be? The company's contribution margin Sandhill's flour supplier has announced a shortage of gluten-free flour. As a result, Sandhill will only be able to purchase 48,650 pounds of flour. How many batches of each type of cookie should the company bake? What will the company's contribution margin be? The company's contribution margin
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