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need assistance In response to a growing awareness of gluten allergies, Wildhorse Bakery tried using gluten-free flour in its three most popular cookies. After several

need assistance

In response to a growing awareness of gluten allergies, Wildhorse 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:

Chocolate Chip Sugar Oatmeal Raisin
Sales price $136 $131 $136
Variable cost $78 $77 $80
Fixed cost 18 13 21
Total cost 96 90 101
Gross profit $40 $41 $35
Pounds of flour 2.5 2.5 2

A. 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.)

Cookies Contribution Margin
Chocolate Chip $enter a dollar amount rounded to 2 decimal places
Sugar $enter a dollar amount rounded to 2 decimal places
Oatmeal Raisin $enter a dollar amount rounded to 2 decimal places

What type of cookie would maximize the company's contribution margin?

B. Assume that, based on typical customer demand, Wildhorse will sell 12,900 batches of chocolate chip cookies, 8,900 batches of sugar cookies, and 10,900 batches of oatmeal raisin cookies. What will the company's contribution margin be?

The company's contribution margin $

C.

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