Allocating constrained resources - In response to a growing awareness of gluten allergies, Outland 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:

Sales price Variable cost Fixed cost Total cost Gross prot Pounds of our Chocolate Sugar Oatmeal Chip Raisin m M M $81 $86 $78 3 Q E 99 101 98 m g 5% 2.5 2.5 2