The packaging contract under discussion totaled $$88,000$ In the past year, Lucas had sold $$80,000$ worth of materials annually to eastern. Lucas's annual sales were $$32$ million.

John Cao had design an attractive new style of sample, Basically, it was a folded card holding strips of tablets that could be pushed through one at a time, as required by the patient.This one idea was to be used in the near future to sample several other tablet prodcust. John had developed the idea for marketing, expecting that he would get both the printing and contract filling.

Although EAstern did $90$ percent of their manufacturing and packaging,they did not have the equipemnt to heat$-$seal the strip into the folded cards. When goods came in from a contract packager such as Lucas, they were held in inventory until required by marketing. Should Lucas be paid for design and contract filling separately?