CON 1400V – Exam 3 Questions and
Answers with Rationales Latest Version
Top Rated A+
Question 1
According to the Federal Acquisition Regulation (FAR), the primary objective of the acquisition
system is to:
A. Maximize agency profits
B. Deliver the best value product or service to the customer while maintaining the public's trust
C. Award contracts to the largest businesses only
D. Minimize competition whenever possible
Correct Answer: B
Rationale:
The FAR states that the acquisition system's guiding principles are to deliver the best value to the
customer while maintaining the public's trust and fulfilling public policy objectives.
Question 2
What is the primary purpose of acquisition planning?
A. Eliminate competition
B. Ensure the government's needs are met in a timely and cost-effective manner
C. Increase contract modifications
D. Delay contract awards
Correct Answer: B
Rationale:
Acquisition planning ensures agencies meet mission needs efficiently through appropriate
planning, competition, budgeting, and risk management.
Question 3
Which FAR Part primarily addresses Acquisition Planning?
,A. FAR Part 6
B. FAR Part 7
C. FAR Part 12
D. FAR Part 15
Correct Answer: B
Rationale:
FAR Part 7 establishes policies and procedures for acquisition planning.
Question 4
Market research should be conducted:
A. Only after contract award
B. Before developing acquisition requirements
C. Only for construction contracts
D. Only for contracts exceeding $10 million
Correct Answer: B
Rationale:
Market research helps agencies understand available commercial capabilities before defining
requirements and selecting an acquisition strategy.
Question 5
The primary purpose of market research is to:
A. Limit competition
B. Identify capable sources and commercial solutions
C. Increase contract prices
D. Eliminate small businesses
Correct Answer: B
Rationale:
Market research helps determine whether commercial products or services can satisfy agency
requirements while promoting competition.
,Question 6
Which contract type places the greatest cost risk on the contractor?
A. Cost-Plus-Fixed-Fee
B. Time-and-Materials
C. Firm-Fixed-Price
D. Cost-Reimbursement
Correct Answer: C
Rationale:
Under a Firm-Fixed-Price (FFP) contract, the contractor must perform for the agreed price
regardless of actual costs.
Question 7
Which contract type places the greatest cost risk on the Government?
A. Firm-Fixed-Price
B. Cost-Reimbursement
C. Fixed-Price Incentive
D. Firm-Fixed-Price with Economic Price Adjustment
Correct Answer: B
Rationale:
In cost-reimbursement contracts, the Government reimburses allowable costs, assuming greater
financial risk.
Question 8
Competition in federal contracting generally results in:
A. Higher prices
B. Better value and innovation
C. Fewer qualified contractors
D. Less transparency
Correct Answer: B
, Rationale:
Competition encourages better pricing, improved quality, innovation, and fairness.
Question 9
The Competition in Contracting Act (CICA) generally requires:
A. Sole-source contracting whenever possible
B. Full and open competition unless an exception applies
C. Contracts be awarded only to large businesses
D. Verbal solicitations only
Correct Answer: B
Rationale:
CICA promotes full and open competition to ensure fairness and maximize value for taxpayers.
Question 10
Which FAR Part addresses Competition Requirements?
A. Part 5
B. Part 6
C. Part 9
D. Part 16
Correct Answer: B
Rationale:
FAR Part 6 prescribes policies for full and open competition.
Question 11
A Justification and Approval (J&A) document is generally required when:
A. Using full and open competition
B. Awarding a sole-source contract under an applicable exception
C. Purchasing office supplies
D. Conducting market research
Answers with Rationales Latest Version
Top Rated A+
Question 1
According to the Federal Acquisition Regulation (FAR), the primary objective of the acquisition
system is to:
A. Maximize agency profits
B. Deliver the best value product or service to the customer while maintaining the public's trust
C. Award contracts to the largest businesses only
D. Minimize competition whenever possible
Correct Answer: B
Rationale:
The FAR states that the acquisition system's guiding principles are to deliver the best value to the
customer while maintaining the public's trust and fulfilling public policy objectives.
Question 2
What is the primary purpose of acquisition planning?
A. Eliminate competition
B. Ensure the government's needs are met in a timely and cost-effective manner
C. Increase contract modifications
D. Delay contract awards
Correct Answer: B
Rationale:
Acquisition planning ensures agencies meet mission needs efficiently through appropriate
planning, competition, budgeting, and risk management.
Question 3
Which FAR Part primarily addresses Acquisition Planning?
,A. FAR Part 6
B. FAR Part 7
C. FAR Part 12
D. FAR Part 15
Correct Answer: B
Rationale:
FAR Part 7 establishes policies and procedures for acquisition planning.
Question 4
Market research should be conducted:
A. Only after contract award
B. Before developing acquisition requirements
C. Only for construction contracts
D. Only for contracts exceeding $10 million
Correct Answer: B
Rationale:
Market research helps agencies understand available commercial capabilities before defining
requirements and selecting an acquisition strategy.
Question 5
The primary purpose of market research is to:
A. Limit competition
B. Identify capable sources and commercial solutions
C. Increase contract prices
D. Eliminate small businesses
Correct Answer: B
Rationale:
Market research helps determine whether commercial products or services can satisfy agency
requirements while promoting competition.
,Question 6
Which contract type places the greatest cost risk on the contractor?
A. Cost-Plus-Fixed-Fee
B. Time-and-Materials
C. Firm-Fixed-Price
D. Cost-Reimbursement
Correct Answer: C
Rationale:
Under a Firm-Fixed-Price (FFP) contract, the contractor must perform for the agreed price
regardless of actual costs.
Question 7
Which contract type places the greatest cost risk on the Government?
A. Firm-Fixed-Price
B. Cost-Reimbursement
C. Fixed-Price Incentive
D. Firm-Fixed-Price with Economic Price Adjustment
Correct Answer: B
Rationale:
In cost-reimbursement contracts, the Government reimburses allowable costs, assuming greater
financial risk.
Question 8
Competition in federal contracting generally results in:
A. Higher prices
B. Better value and innovation
C. Fewer qualified contractors
D. Less transparency
Correct Answer: B
, Rationale:
Competition encourages better pricing, improved quality, innovation, and fairness.
Question 9
The Competition in Contracting Act (CICA) generally requires:
A. Sole-source contracting whenever possible
B. Full and open competition unless an exception applies
C. Contracts be awarded only to large businesses
D. Verbal solicitations only
Correct Answer: B
Rationale:
CICA promotes full and open competition to ensure fairness and maximize value for taxpayers.
Question 10
Which FAR Part addresses Competition Requirements?
A. Part 5
B. Part 6
C. Part 9
D. Part 16
Correct Answer: B
Rationale:
FAR Part 6 prescribes policies for full and open competition.
Question 11
A Justification and Approval (J&A) document is generally required when:
A. Using full and open competition
B. Awarding a sole-source contract under an applicable exception
C. Purchasing office supplies
D. Conducting market research
