The Contractor Should State Its Understanding of the Customer's Need

question 27

Multiple Choice

The contractor should state its understanding of the customer's need

• A) in its own words with description of the customer's current condition.
• B) by restating the problem statement that appears in the RFP.
• C) by including complex graphics to show expertise.
• D) adding lots of information about other projects that are similar.

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Definitions:

Net Present Value

A financial metric that calculates the difference between the present value of cash inflows and outflows over a period of time.

Present Value Factor

A factor used in calculating the present value of a cash flow that will be received or paid at a future date.

Desired Rate

An expected or targeted rate of return or interest rate that an individual or company aims to achieve on investments or projects.

Average Rate of Return

A profitability gauge for investments, determined by dividing the initial investment cost into the average yearly profit.