But murder = tons of exp.
Does he eat the Yarrow flower? Or does it remains in his inventory. Because if he eats it, rip recyclable Elixir for great gold.
You get XP600 for giving the ring to his mum. She then goes to the beach, you go and talk to them and you get the key for the entrance to Orvids Chambers.
If you want you can then kill the happily reunited pair and get XP1000 for Migo and XP600ish for his mum and get the Yarrow flower and the ring back from their corpses. Or you can pickpocket them. Many options...
Murder also equals bad RP, at least for me. I prefer to keep NPCs alive unless there's no realistic alternative.
Me too on the whole. XP could do with a little balancing re good and evil choices though. Some places you do get more for being good and it mostly balances out. In this case evil is excessively rewarded. Same with Slane - XP600 for good, almost XP4000 + rare/epic item for evil.
It only matters if you are on some obsessive quest to get to level 8 before the last fight though which takes too long and isn't much fun. Playing how you like gets you to 7 and is more enjoyable I think.
When it comes to crafting, Invisibility potion (empty potion bottle + Chanterelle mushroom) for 150 gold is a good 'un.