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Question Help P7-31 (similar to) Natasha's Flowers, a local florist, purchases fresh flowers each day at the local flower market. The buyer has a budget
Question Help P7-31 (similar 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 Roses Lilies Pansies Orchids NPV per bunch $2 $11 $6 $20 Cost per bunch $17 $30 S31 $79 Max. Bunches 25 10 10 What combination of flowers should the shop purchase each day? The profitability index for each choice is: (Round to three decimal places.) NPV per bunch Cost per bunch Max. Bunches 25 Profitability Index (per bunch) Roses $2 $17
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