Pitsa seller of frozen pizza is considering healthier version of its pizza that will low in cholesterol with no trans fat. The firm expects to sale the new pizza for $22 million per year.. Pitsa estimate that 37% will come from customers who would switch.to the new pizza.

a. Assume that customers would spend the same on either version. What level of incremental sales is associated with introducing the new pizza?

b. Suppose that 55% of the customers who will switch to from the old pizza to the new pizza if Pitsa does not provide a healthier pizza. What level of incremental sales is associated with introducing the new pizza in this case?

a. Assume customers will spend the same amount on either version. What level of incremental sales is associated with introducing the new pizza?