High payout or high conversion rate — how do I actually compare two offers?

High payout or high conversion rate — how do I actually compare two offers?
Q: One offer pays $40 at a low rate, another pays $12 but converts way more. Which?

A: Stop comparing payout. Compare earnings per click (EPC). Walk it:
— EPC = payout x conversion rate. Offer A: $40 x 1% = $0.40 EPC. Offer B: $12 x 4% = $0.48 EPC. B wins.
— Now layer in your cost per click. EPC minus CPC = your real margin per click.
— Check volume: can the higher-EPC offer take your full traffic, or does its cap choke you?
— Check hold and reversals: a high payout with 30% chargebacks is a lower effective payout.

Short version: rank by EPC, not payout. Then subtract your click cost, sanity-check the cap, and discount for reversals.

More Qs? Drop them.