6.7. Consider the following data for a clinical laboratory:Activity DataActivity

6.7. Consider the following data for a clinical laboratory:Activity DataActivity Annual Costs Cost Driver Test A Test B Test C Test DReceive specimen $ 10000 Number of tests 2000 1500 1000 500Equipment set up 25000 Number of minutes per test 5 5 10 10Run test 100000 Number of minutes per test 1 5 10 20Record results 10000 Number of minutes per test 2 2 2 4Transmit results 5000 Number of minutes per test 3 3 3 3Total costs $150000a. Using ABC techniques determine the allocation rate for each activity.b. Now using this allocation rate estimate the total cost of performing each test.c. Verify that the total annual costs aggregated from individual test costs equal the total annual costs of the laboratory given in the table above.