Yesha’s Flower Shop offers different kinds of flower like roses, daisy and sunflower. Upon checking the profit of each item, daisy is the lowest last year (2020). She is thinking of stop offering daisy or continue it. The daisy flower has a fixed cost of Php 45 and has the following variable costs shown below.   Worker No. of Daisy Flower Variable Cost 0 0 0 1 90 12 2 200 24 3 260 36 4 300 48 5 330 60   Compute the Total cost and Marginal cost for each worker. Compute the Total Revenue for each worker if the price is 0.35. Compute the Profit for each worker. What should be Yesha’s decision based on your answers?

ENGR.ECONOMIC ANALYSIS
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ISBN:9780190931919
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Chapter1: Making Economics Decisions
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Yesha’s Flower Shop offers different kinds of flower like roses, daisy and sunflower. Upon checking the profit of each item, daisy is the lowest last year (2020). She is thinking of stop offering daisy or continue it. The daisy flower has a fixed cost of Php 45 and has the following variable costs shown below.

 

Worker

No. of Daisy Flower

Variable Cost

0

0

0

1

90

12

2

200

24

3

260

36

4

300

48

5

330

60

 

  1. Compute the Total cost and Marginal cost for each worker.
  2. Compute the Total Revenue for each worker if the price is 0.35.
  3. Compute the Profit for each worker. What should be Yesha’s decision based on your answers?

 

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