If There Is High Risk for the Success of a Project

question 8

True/False

If there is high risk for the success of a project, the contractor should include a cost-reimbursement plan in their cost section if the RFP did not specify a contract type.

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Definitions:

Investment Opportunity

A potential investment that could yield financial returns, often evaluated for its risk-reward profile.

Company

An organized entity formed to conduct business activities, selling goods or services in exchange for profit.

Last Year's Margin

Represents the difference between the sales revenue and the cost of goods sold from the previous year, often expressed as a percentage of sales.

Combined ROI

A metric that aggregates the return on investment from multiple projects or business units into a single figure.