Juanita Poblamo makes large ceramic pots for use in outdoor landscape. She currently has two models, one square and the other round. Because of the size of Juanita’s creations, only one pot can be fired in the kiln at a time. Information about each model follows:

Assume that Juanita can sell as many pots as she can create but that she is limited as to the number of hours that the kiln can be run. Determine which model Juanita should produce and explain your answer.

Transcribed Image Text:

Square Round Sales price Variable cost Firing time $70 $90 $15 $20 2 hours 3 hours