Question
Natasha's Flowers, a local florist, purchases fresh flowers each day at the local flower market. The buyer has a budget of $1,005 per day to
Natasha's Flowers, a local florist, purchases fresh flowers each day at the local flower market. The buyer has a budget of $1,005 per day to spend. Different flowers have different profit margins, and also a maximum amount the shop can sell. Based on past experience the shop has estimated the following NPV of purchasing each type:
| NPV per bunch | Cost per bunch | Max. Bunches | |
| Roses | $2 | $25 | 25 |
| Lilies | $9 | $29 | 10 |
| Pansies | $6 | $31 | 10 |
| Orchids | $21 | $81 | 5 |
What combination of flowers should the shop purchase each day?
The combination of flowers the shop should purchase each day is:
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Bond Markets Analysis And Strategies
Authors: Frank J. Fabozzi
4th Edition
0130402664, 9780130402660
