Real-Life Math
Florists with their own shops have to be accurate in their pricing
-- it's essential for staying in business. Like all business owners, they
use math to set budgets and to project earnings from sales. That can be tough
-- most flower arrangements differ from customer to customer. Florists have
no simple prices for the product they produce.
You're the owner of
a small flower shop who's been asked to design the floral arrangements for
your national floral society's annual meeting. What an honor! This is a high-pressure
situation because top florists from across the country will look at your designs
with a critical eye.
Naturally you want to show off your best work,
but at the same time you need to make a profit from the conference. You should
work out a budget detailing how much you'll charge the society and how much
money you'll make.
You begin by talking to the coordinators about the
theme of the conference. Then you go to the hotel where the banquet is going
to be held. You find out everything from the color of the tablecloths to the
pattern on the china to the number of people seated at each table. There are
100 guests at the conference and about 20 people to a table. You should have
1 bouquet per table.
Establishing the color, style, size and theme
of the arrangements takes 2 hours. You figure it will take you another 2 hours
to come up with a design and 5 hours to arrange each bouquet.
As a
base for your design you'll include 10 wreaths of baby's breath, 15 carnations,
15 daisies and 15 gladiolus. The focal point of your creation will be 30 roses,
10 orchids and 4 of the most exquisite flowers -- star gazing lilies.
You
run off and buy your flowers from a flower auction. At the wholesale price,
your flowers cost:
| Roses | $0.67 each |
| Carnations | $0.75 each |
| Daisies | $0.80 each |
| Star gazing lilies | $3.60 each |
| Orchids | $1.20 each |
| Gladiolus | $0.63 each |
| Baby's breath | $0.59 per wreath |
You mark up the flowers by 250 percent and charge $15 an hour
for labor. How much will you charge the society for the flower
arrangements? How much of a profit you will make from the convention?