Sammie's pizza sells an average of 150 pizzas per week, of which 20% are single-topping pizzas and 80% are supreme pizzas with multiple toppings. singles sell for $ 8 each and incur variable costs of $ 2. supremes sell for $ 12 each and incur variable costs of $ 6. which pizza should sammie's pizza promote to maximize profits? a. singles because they contribute the highest total contribution margin. b. supremes because they have the highest contribution margin ratio. c. both should be promoted equally because they have the same contribution margin per unit. d. singles because they have the highest contribution margin ratio.

Joint cost cheyenne, inc. produces three products from a common input. the joint costs for a typical quarter follow: direct materials $45,000 direct labor 55,000 overhead 60,000 the revenues from each product are as follows: product a $75,000 product b 80,000 product c 30,000 management is considering processing product a beyond the split-off point, which would increase the sales value of product a to $116,000. however, to process product a further means that the company must rent some special equipment costing $17,500 per quarter. additional materials and labor also needed would cost $12,650 per quarter. a. what is the gross profit currently being earned by the three products for one quarter? $answer b. what is the effect on quarterly profits if the company decides to process product a further? $answer