CON 3990V- Pre practice Test 3 Questions and Complete Solutions Graded A+

CON 3990V- Pre practice Test 3 Questions and Complete Solutions Graded A+ What is Price? - Answer: Cost plus any fee or profit What is Pricing? - Answer: The process of establishing a reasonable amount or amounts to be paid for supplies or services. True or False? Each contract should be priced separately and independently? - Answer: True When contracting on a firm-fixed-price basis, what will usually satisfy the requirement to perform a price analysis? - Answer: A comparison of proposed prices True or False? Price to the Government shall be evaluated in every source selection? - Answer: True When contracting on a cost-reimbursement basis, evaluations shall include a cost realism analysis to determine? - Answer: - What the Government should realistically expect to pay for the proposed effort, - the offeror's understanding of the work, and - the offeror's ability to perform the contract. True or False? Cost realism analysis may not be used on fixed-price incentive contracts? - Answer: False When a contracting professional determines that a price is reasonable, what does that mean? They made a decision that is both judicious and wise. They made a decision based on their ability, knowledge or skill. They made a decision based on what a prudent and competent buyer would be willing to pay. - Answer: They made a decision based on what a prudent and competent buyer would be willing to pay. Price analysis is used...(select the 2 correct answers): To evaluate the reasonableness of individual cost elements When certified cost or pricing data are not required. To evaluate data other than certified cost or pricing data to determine cost reasonableness or cost realism To verify that the overall price offered is fair and reasonable. - Answer: When certified cost or pricing data are not required. To verify that the overall price offered is fair and reasonable. Cost analysis is used... (select the 2 correct answers): To evaluate the reasonableness of individual cost elements When certified cost or pricing data are not required. To evaluate data other than certified cost or pricing data to determine cost reasonableness or cost realism To verify that the overall price offered is fair and reasonable. - Answer: To evaluate the reasonableness of individual cost elements To evaluate data other than certified cost or pricing data to determine cost reasonableness or cost realism According to FAR 2.101, cost or pricing data... Is factual Includes all facts that may or may not affect price negotiations Is judgmental May not be verifiable - Answer: Is factual A price is based on adequate price competition when... (select all that apply) In receipt of offers from two or more responsible offerors Only one offer was received, but the action was solicited as full and open competition. Price is found to be unreasonable In receipt of offers from two or more offerors competing independently - Answer: In receipt of offers from two or more responsible offerors In receipt of offers from two or more offerors competing independently When a contractor submits a Certificate of Current Cost or Pricing Data, they are certifying that the data is... (select the 3 choices that apply) Based on historical prices paid Current Complete Accurate - Answer: Current Complete Accurate Which of the following are exceptions to obtaining certified cost of pricing data? (select all that apply) Adequate price competition Commercial items Prices set by law Modifying a noncommercial contract - Answer: Adequate price competition Commercial items Prices set by law A contractor assumes the greatest cost risk in a which type of contract? - Answer: Firm Fixed Price Contracts A contractor assumes the least cost risk in which type of contract? - Answer: Cost Plus Fixed Fee Contracts Unbalanced pricing occurs when the overall price appears reasonable but ___________ indicates the price of one or more contract line items is significantly over or understated. - Answer: Cost or Price Analysis When certified cost or pricing data are not required, why would you obtain data other than certified cost or pricing data? - Answer: As necessary to establish a fair and reasonable price. Before burdening contractors with providing data, where shall the contracting officer first obtain data to determine a fair and reasonable price? - Answer: The Government or other secondary sources When a contracting officer requests data other than certified cost or pricing data, whose format for submitting the data should be used? - Answer: The Contractor's Not a question just information (read the back of the Card) Before entering into negotiations, the contracting officer must determine a range of cost or price they are willing to pay for a given service or product. 1. These are known as the contracting officer's "prenegotiation objectives" (PNO). 2. This range of minimum and maximum prices or costs must be fair and reasonable as determined by all available information, 3. This range of minimum and maximum prices or costs must be fair and reasonable as determined by all available information, - Answer: 1. These are known as the contracting officer's "prenegotiation objectives" (PNO). PNOs establish what the contracting officer judges they should be paying. Broad differences between government's & contractor's max or minimum indicate possible misunderstandings in requirements. 2. This range of minimum and maximum prices or costs must be fair and reasonable as determined by all available information, It is important to understand that the contracting officer cannot agree to pay unfair or unreasonable prices. 3. This range of minimum and maximum prices or costs must be fair and reasonable as determined by all available information, such as cost or pricing data, market research, historical or current prices, government estimates, along with the contracting officer's judgment. Discussions take place after the establishment of the competitive range. True False - Answer: True The contracting officer may limit the number of proposals in the competitive range to the greatest number that will permit an efficient competition among the most highly rated proposals. True False - Answer: True Communications may be conducted to enhance Government understanding of proposals; allow reasonable interpretation of the proposal; or facilitate the Government's evaluation process. True False - Answer: True Clarifications allow an offeror the opportunity to clarify certain aspects of their proposal. True False - Answer: True The pre-negotiation objective assists in the contracting officer's determination of a fair and reasonable price. True False - Answer: True A PNM shall only include the purpose of the negotiation. True False - Answer: False The contracting officer shall establish pre-negotiation objectives before the negotiation of any pricing action. True False - Answer: True Requests for Proposals (RFPs) are used to Collect market research Identify interested parties Solicit proposals Locate commercial items - Answer: Solicit proposals In the Uniform Contract Format (UCF), information on inspection is found in Section B Section C Section D Section E - Answer: Section E In the UCF, information regarding a company's size status is found in Section K Section J Section I Section H - Answer: Section K Who is responsible for making the best value decision? PCO- Procurement Contracting Officer SSA- Source Select Authority SSAC- Source Select Advisory Council SSEB- Source Selection Evaluation Board - Answer: SSA- Source Select Authority Who serves as the primary business advisor for a source slection? PCO- Procurement Contracting Officer SSA- Source Select Authority SSAC- Source Select Advisory Council SSEB- Source Selection Evaluation Board - Answer: PCO- Procurement Contracting Officer Which two evaluation factors shall be evaluated in every source selection? Past performance and small business Small business and technical capability Price or cost and past performance Price or cost and quality - Answer: Price or cost and quality A protest is a ____________ ____________ by an ______________ ____________ - Answer: written objection by an interested party An interested party is an _____________ or _____________ offeror - Answer: actual or prospective How many protest venues are there? - Answer: 3 Agency The government Accountability Office (GAO) The U.S. Court of Federal Claims To whom shall protests to the agency be addressed? Program Manager Contracting Officer Head of the Agency - Answer: Contracting Officer If an agency protest is received before award, may the Contracting Officer generally proceed with the award? Yes No - Answer: No If a Contracting Officer receives an agency protest 8 days after contract award, what must the Contracting Officer do? Immediately suspend performance Get a second opinion Allow performance to proceed - Answer: Immediately suspend performance If a contracting officer denies a contractor's claim in a Contracting Officer's Final Decision, the contractor must continue contract performance. True False - Answer: True