Cost-Plus Contracts Negotiated with Suppliers of the Government Usually Involves

question 99

Multiple Choice

Cost-plus contracts negotiated with suppliers of the government usually involves ________.

• A) a price that allows the contractor to break-even
• B) a price that covers the contract's cost plus other noncash benefits
• C) the supplier's cost to perform the contact (provide the product or service) plus a fee
• D) a price that covers the contractor's direct costs plus an amount to cover overhead costs

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Definitions:

Misrepresentation

The act of providing false or misleading statements that induce someone to enter into a contract.

Legal Misrepresentation

An untrue assertion of reality presented by one individual to another, resulting in the latter being persuaded to enter into an agreement.

Concealing

The act of hiding, covering, or keeping something secret, often with the intent to deceive or defraud.

Termite Infestation

The presence and dwelling of termites in a structure, causing damage and potentially undermining the integrity of the property.