With pure ______ contracts, allowable costs are shared between the parties on a predetermined percentage basis.
A)cost-sharing
B)time and materials
C)fixed-price with incentives
D)cost plus incentive fee
E)fixed-price with redetermination

Question

Quizplus · Accepted Answer

Cost-sharing contracts involve a predetermined percentage basis for allowable costs that are shared between the parties involved. This type of contract is commonly used in research and development projects where risks are high, and the parties share the costs of the project on an agreed-upon basis.

With Pure ______ Contracts, Allowable Costs Are Shared Between the Parties