XXX Proposal1          Total Cost Summary    Company Confidential


        Direct Labor                           Hours   Rate      Cost
          Engineer/Scientist I                  2     $12.20  $    24.40
                                               ----           ----------
            Labor subtotal                      2             $    24.40
            Engineering Overhead @ 100%                            24.40
                                                              ----------
            Labor and overhead subtotal                       $    48.80

          Assembler                            31.7   $ 5.80  $   183.69
          QA Inspector                          2       7.00       14.00
                                               ----           ----------
            Labor subtotal                     33.7           $   197.69
            Manufacturing Overhead @ 225%                         444.79
                                                              ----------
            Labor and overhead subtotal                       $   642.48


                                                              ==========
        Subtotal, labor                                       $   691.28


        Other Direct Costs
          Materials                                           $ 5,115.93
                                                              ----------
            Other direct cost subtotal                        $ 5,115.93

                                                              ==========
        Subtotal, other direct costs                          $ 5,115.93

                                                              ==========
        Total labor and direct costs                          $ 5,807.21
        General & Administration @ 15%                            871.08
                                                              ----------
        Total labor, direct costs, and G&A                    $ 6,678.29

        Fee @ 30%                                               2,003.49

                                                              ==========
        Total                                                 $ 8,681.78

























