Blossom’s Flowers purchases roses for sale for Valentine’s Day. The roses are purchased for $10 a dozen and are sold for $20 a dozen. Any roses not sold on Valentine’s Day can be sold for $5 per dozen. The owner will purchase 1 of 3 amounts of roses for Valentine’s Day: 100, 200, or 400 dozen roses. The number of alternatives for the payoff table is
D. it cannot be determined form the information given
This is the classic Newsvendor or Newsboy problem. In this case the company buys flowers for each …
This solution explains the correct answer for the multiple choice question in 70 words.