A stipulated sum of money to be expended by a contractor on a specific work item on a project is usually referred to as a ____.
A)cash reserve
B)cash allowance
C)cash buffer
D)cash holding

Question

Quizplus · Accepted Answer

A stipulated sum of money to be expended by a contractor on a specific work item on a project is commonly referred to as a cash allowance. This allowance is typically determined by the project owner or client and is included as part of the contract agreement. The purpose of the cash allowance is to allocate a specific amount of funds for a particular work item or component, ensuring that the project stays within budget and that the contractor has enough funds to complete the work item satisfactorily.

A Stipulated Sum of Money to Be Expended by a Contractor