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Calculate the total cost over 5 years for Zena (show your work) and the actual cost per test (direct and indirect costs other than overhead) for the next year and then the 5th year. Here is a chart to get you started.

ZENA COST ANALYSIS

Item

Cost/Year

5 year Cost

Reagent Cost/Test ($1.00 each x number of tests

Maintenance Contract

Disposables

Tech equivalents (4)

Payment (one time) on analyzer

$50,000

$50,000

TOTAL

Cost per test first year (_$_______/20,000 tests per year = $ per test

Cost over 5 years ($_________/100,000 tests over 5 years= $ per test

User Fgkolf
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1 Answer

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Therefore, the cost per test for the first year and the fifth year is both $2.50. In summary, the total cost over 5 years for Zena is $250,000. The cost per test for both the first year and the fifth year is $2.50.

To calculate the total cost over 5 years for Zena, we need to sum the annual costs for each item and then calculate the cost per test for the first year and the fifth year.

Given the provided information, let's fill in the chart:

ZENA COST ANALYSIS

Item Cost/Year 5 year Cost

Reagent Cost/Test ($1.00 each x number of tests)

Maintenance Contract

Disposables

Tech equivalents (4)

Payment (one time) on analyzer $50,000 $50,000

TOTAL

To calculate the total cost over 5 years, we multiply the annual cost by the number of years:

Total cost over 5 years = $50,000 * 5

Total cost over 5 years = $250,000

Now let's calculate the cost per test for the first year:

Cost per test first year = Total cost per year / Number of tests per year

Cost per test first year = $50,000 / 20,000 tests per year

Cost per test first year = $2.50 per test

Next, we'll calculate the cost per test for the fifth year:

Cost per test fifth year = Total cost over 5 years / Number of tests over 5 years

Cost per test fifth year = $250,000 / 100,000 tests over 5 years

Cost per test fifth year = $2.50 per test

Therefore, the cost per test for the first year and the fifth year is both $2.50.

In summary, the total cost over 5 years for Zena is $250,000. The cost per test for both the first year and the fifth year is $2.50.

User Termininja
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