The type of contract where the customer and the contractor agree on a price for the proposed work is
A) a fixed price contract
B) a fixed agreement.
C) a cost reimbursement contract.
D) a work agreement.

Question

Quizplus · Accepted Answer

A fixed price contract, also known as a firm-fixed-price contract, sets an agreed-upon price for the proposed work prior to the start of the project. This type of contract places the risk of any cost overruns on the contractor, who is responsible for completing the work within the agreed-upon budget.

The Type of Contract Where the Customer and the Contractor