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When the tests are combined, only one syringe, form, and sterile bandage will be used.Furthermore, only one charge for breakage/losses will apply.Two blood vials are

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  1. When the tests are combined, only one syringe, form, and sterile bandage 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 - so add up those costs).

Assuming marginal cost pricing, what is the cost of the combined test?

Choice:$3.00

Choice:$4.50

Choice:$6.90

Choice:$8.00

2.When the tests are combined, only one syringe, form, and sterile bandage 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 - so add up those costs).

What price must be charge to achieve a contribution margin of $10?

Choice:$8.25

Choice:$14.75

Choice:$18.00

Choice:$19.80

3.When the tests are combined, only one syringe, form, and sterile bandage 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 - so add up those costs).

Allied estimates that 2,000 of the combined tests will be conducted during the first year.The annual allocation of direct fixed and overhead costs totals $50,000.What price must be set to cover the total overhead costs at the projected volume.

What price must be charged to cover full costs?

Choice:$26.90

Choice:$27.50

Choice:$33.00

Choice:$43.75

4.When the tests are combined, only one syringe, form, and sterile bandage 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 - so add up those costs).

Allied estimates that 2,000 of the combined tests will be conducted during the first year.The annual allocation of direct fixed and overhead costs totals $50,000.What price must be set to cover the total overhead costs at the projected volume.

What price must be charged to cover full costs plus a $25,000 profit?

Choice:$22.54

Choice:$31.00

Choice:$45.50

Choice:$50.00

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