Allied Laboratories is combining some of its most common tests into one-price packages. One such package will contain three tests that have the following variable costs:

		Test A		Test B		Test C
Syringe		$4.00		$4.00		$4.00
Blood Vial		0.50		0.50		0.50
Forms		0.20		0.20		0.20
reagents		0.80		0.60		1.20
Bandage		0.15		0.15		0.15
Breakage/loss		0.10		0.10		0.10

When the tests are combined, only one syringe, form, and sterile ban- dage will be used. Furthermore, only one charge for breakage/losses will apply. Two blood vials are required, and reagent costs will remain the same (reagents from all three tests are required).

a. As a starting point, what is the price of the combined test assuming marginal cost pricing? b. Assume that Allied wants a contribution margin of $12 per test. What price must be set to achieve this goal?

c. Allied estimates that 3,000 of the combined tests will be conduct- ed during the first year. The annual allocation of direct fixed and overhead costs total $45,000. What price must be set to cover full costs? What price must be set to produce a profit of $40,000 on the combined test?

please explain the answers, and don't just post it as a picture so I can edit on that calculation if needed.