A _____ Is a Contract That Reimburses the Contractor for Costs

question 31

Multiple Choice

A _____ is a contract that reimburses the contractor for costs but the profit is a fixed amount.

• A) cost reimbursable contract with a percentage fee
• B) fixed price with an incentive fee
• C) fixed total cost
• D) fixed price with price adjustment
• E) cost reimbursable contract with a fixed fee

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Definitions:

Nearest Hundred Thousand

A rounding method where a number is rounded to the closest increment of one hundred thousand.

Retirement Plan

A financial arrangement designed to replace employment income upon retirement, often involving contributions from both employers and employees.

Investment Earnings

Income generated from investing capital, including dividends, interest, and capital gains.

Inflation

The rate at which the general level of prices for goods and services is rising, leading to a decrease in the purchasing power of money.