In a _____ contract, the supplier receives reimbursement for all of its allowable costs up to a predetermined amount plus a fixed fee, which typically represents a percentage of the targeted cost of the good or service being procured.
A)cost plus fixed-fee
B)fixed-price with redetermination
C)time and materials
D)fixed-price plus fixed-fee
E)None of these answers.

Question

Quizplus · Accepted Answer

A cost plus fixed-fee contract is the only option given that includes reimbursement for allowable costs up to a predetermined amount as well as a fixed fee for the supplier. The other options only include a fixed price or an hourly rate for services.

In a _____ Contract, the Supplier Receives Reimbursement for All