Contractors Interested in Submitting a Proposal in Response to an RFP

question 34

True/False

Contractors interested in submitting a proposal in response to an RFP must be realistic about the probability of being selected as the winning contractor.

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Definitions:

Markup

The amount added to the cost price of goods to cover overhead and profit when determining the selling price.

Total Cost Concept

An approach that takes into account all costs associated with the production and distribution of goods or services.

Cost-Plus Approach

A pricing strategy where a fixed percentage or amount of profit is added on top of the cost to produce or purchase goods or services.

Selling Expenses

are costs associated with marketing and selling a company's products or services, including advertising, sales staff salaries, and commissions.