Which of the following is FALSE about fixed-price contracts?
A) The contract subjects the supplier to a large degree of financial risk in the event of cost escalations.
B) The contract includes a fair and reasonable incentive that requires the contractor to assume an appropriate share of the risk.
C) The administrative burden of signing the contract is very high.
D) The contract subjects the buyer to financial loss if the market price drops.
Correct Answer:
Verified
Q45: Replacement parts for machinery are examples of
Q46: Which of the following statements is true?
A)Money
Q47: The supplier charges a lower price for
Q48: Purchasing predictability is relatively high for _.
A)direct
Q49: The supplier is paid in full for
Q51: Any difference in value to be gained
Q52: Which of the following statements is true
Q53: A _ contract is desired when item
Q54: The buyer can change the purchased quantity
Q55: Which approach is desirable when there is
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents