Micro switch (5$ at radio shack)
Blue Led (5$ for 2 at radio shack)
2xAAA battery holder (5$ at radio shack)
WiiMote candy dispenser (1$ at dolorama)
total 15$ (5$ at real electronic store)
Step 1: Making a hole for battery holder
Step 2: Cutting down useless plastic
Step 3: Gluing and soldering
Solder the red wire to the shorter end of the switch
then solder the long pin of the led to the other pin on the switch (cut the leg to size)
the shorter leg will be soldered to the black wire.
glue everything into place.