Superbowl Corporation Manufactures Two Products,Footballs and Helmets

Multiple Choice

Superbowl Corporation manufactures two products,Footballs and Helmets.The following annual information was gathered: Total annual fixed costs are $25,000.Assume Superbowl Corporation can sell either 8,000 footballs or 18,000 helmets at full capacity.Which product should Superbowl Corporation sell to maximize profits?

A) Footballs because the contribution margin per unit is higher
B) Helmets because the total units sold is higher
C) Helmets because the total contribution margin is higher
D) Footballs because the sales price per unit is higher