ACO CORB EXAM QUESTIONS AND ANSWERS
LATEST 2025-2026 UPDATE
Explain what an Informational Subline Item is, and explain what a
Separately Identified Subline Item is. - Answer-a. An informational
subline item is used to provide information about the CLIN, like parts of
a kit, but it shouldn't have a delivery information tied to it for shipment
or pricing information tied to it to for payment purposes. Use Info
CLINs to identify each accounting classification citation (ACRN) that is
assigned to a single line item. Uses numeric suffix.
b. A separately identifiable subline item (subclin) has the same
characteristics of a CLIN so it would be used in situations with similar
characteristics. Use Sub CLINs to establish ACRNs for severable
quantities associated with a single accounting classification. It can be
scheduled or priced separately. Uses alpha suffix.
For FFP contracts in CAR Part B, above what dollar threshold must the
ACO review the contract, and generate a final pay NLA in the closeout
etool? - Answer-Anything over $99,000.
Generally speaking, how long are funds available before they cancel? -
Answer-5 years after the date last available for obligation (current) and
may no longer be paid out, even if already obligated. If all contract
obligations are not paid by that date, customer must find alternate
function sources, usually from current appropriations.
,How do you resolve a CAFU audit? - Answer-a. DCMA INST-126 P3.6
page 16
b. Reportable audit report is considered resolved when the ACO has
determined and documented an action plan for addressing audit findings
in a PNOM or MFR (Memo for Record). ACO shall resolved reportable
audits within 6 months of audit report issuance, unless regulation or
policy provides for earlier date. Read, review audit - assess significance
of findings. Consider all DCAA recommendations and obtain
clarifications. Establish estimate target dates for resolving. Enter
remarks to summarize status of actions taken or planned. Update the
status in Remarks from Assigned, to Planned, to Resolved, to
Dispositioned. Decide what position to take - agree/disagree with
DCAA. Document decision/resolution of audit in signed and dated
PNOM. Consult with legal counsel if ACO decision has potential for a
claim against the contractor (CAS related). Obtain Management Review
and concurrence with PNOM or MFR documenting the action plan for
addressing the audit findings.
How long are CAFU records to be maintained for? - Answer-A
minimum of 6 years and 3 months after payment of the last contract
affected by the audit
How long does the contractor have to submit their indirect cost rate
proposals for a given fiscal year? - Answer-6 months after the
contractor's fiscal year ends.
How many days does DCMA have to review a contract and ensure data
integrity? - Answer-30 days
, How many days does the buying activity have to clear a final patent
report (DD Form 882)? - Answer-a. 60 days
b. If the ACO doesn't receive clearance within the allotted time, the
ACO can move forward with closeout actions upon consultation with
legal counsel.
c. If the final patent report is negative, include language that deems
clearance to be issued if PCO does not respond.
How often can PBP requests for payment be submitted? - Answer-Not
more frequently than monthly. However, multiple events/milestones
may be on one monthly PBP payment request.
How often can the Government pay contractors for Progress Payments?
- Answer-Not more frequently than monthly in amounts of $2,500 or
more - FAR 52.232-1
How often is ACO required to input remarks/status updates to Metric
Studio Canceling Funds scorecard? - Answer-Monthly
How would you initiate closeout for a physical complete cost
reimbursable contract where DCAA has not yet audited the last incurred
cost proposal? - Answer-a. The last incurred cost proposal MAY not
affect the contract - it depends on the period of performance of the
contract.
b. DCMA INST 135 p 18 - 3.3.1.1. This would require the use of the
Class Deviation authorizing ACOs to close contracts prior to the
establishment of final indirect cost rates, regardless of dollar value or the
percent of unsettled indirect costs allocable to the contract. The
, deviation can be used provided the contractor has submitted a final
certified indirect cost rate proposal for the subject contract/order that has
been audited by the DCAA. In selected instances, the ACO may waive
the incurred cost audit requirement when compelling reasons exist
(canceling funds/program office request...). The decision to waive the
audit must be made by the ACO cognizant of establishing the Quick-
Closeout rate agreement in consultation with DCAA. ACOs are
encouraged to use this deviation to the maximum extent possible.
If a contractor fails to submit an accounting change description or a
required GDM or DCI proposal within the time specified by the CFAO,
what remedy does the Government have? - Answer-The CFAO can
estimate the GDM of the affected CAS-covered contracts and
subcontracts with the assistance of the DCAA auditor. The CFAO can
also withhold an amount not to exceed 10 percent of each subsequent
payment on the contractor's CAS-covered contracts up to the estimated
GDM until the contractor furnishes the required information. The CFAO
may also issue a final decision and unilaterally adjust the contract(s) by
the estimated amount of the cost impact.
If an agreement cannot be reached in determining billing rates, what can
the ACO do? - Answer-The billing rates may be unilaterally determined
by the contracting officer (or cognizant Federal agency official). FAR
42.704
If you can do change orders unilaterally, why would you have a change
in specs bilaterally? - Answer-You want to make spec changes
bilaterally to show that the contractor agrees to the changes and that they
agree to any compensation that is being given in return, if any.
LATEST 2025-2026 UPDATE
Explain what an Informational Subline Item is, and explain what a
Separately Identified Subline Item is. - Answer-a. An informational
subline item is used to provide information about the CLIN, like parts of
a kit, but it shouldn't have a delivery information tied to it for shipment
or pricing information tied to it to for payment purposes. Use Info
CLINs to identify each accounting classification citation (ACRN) that is
assigned to a single line item. Uses numeric suffix.
b. A separately identifiable subline item (subclin) has the same
characteristics of a CLIN so it would be used in situations with similar
characteristics. Use Sub CLINs to establish ACRNs for severable
quantities associated with a single accounting classification. It can be
scheduled or priced separately. Uses alpha suffix.
For FFP contracts in CAR Part B, above what dollar threshold must the
ACO review the contract, and generate a final pay NLA in the closeout
etool? - Answer-Anything over $99,000.
Generally speaking, how long are funds available before they cancel? -
Answer-5 years after the date last available for obligation (current) and
may no longer be paid out, even if already obligated. If all contract
obligations are not paid by that date, customer must find alternate
function sources, usually from current appropriations.
,How do you resolve a CAFU audit? - Answer-a. DCMA INST-126 P3.6
page 16
b. Reportable audit report is considered resolved when the ACO has
determined and documented an action plan for addressing audit findings
in a PNOM or MFR (Memo for Record). ACO shall resolved reportable
audits within 6 months of audit report issuance, unless regulation or
policy provides for earlier date. Read, review audit - assess significance
of findings. Consider all DCAA recommendations and obtain
clarifications. Establish estimate target dates for resolving. Enter
remarks to summarize status of actions taken or planned. Update the
status in Remarks from Assigned, to Planned, to Resolved, to
Dispositioned. Decide what position to take - agree/disagree with
DCAA. Document decision/resolution of audit in signed and dated
PNOM. Consult with legal counsel if ACO decision has potential for a
claim against the contractor (CAS related). Obtain Management Review
and concurrence with PNOM or MFR documenting the action plan for
addressing the audit findings.
How long are CAFU records to be maintained for? - Answer-A
minimum of 6 years and 3 months after payment of the last contract
affected by the audit
How long does the contractor have to submit their indirect cost rate
proposals for a given fiscal year? - Answer-6 months after the
contractor's fiscal year ends.
How many days does DCMA have to review a contract and ensure data
integrity? - Answer-30 days
, How many days does the buying activity have to clear a final patent
report (DD Form 882)? - Answer-a. 60 days
b. If the ACO doesn't receive clearance within the allotted time, the
ACO can move forward with closeout actions upon consultation with
legal counsel.
c. If the final patent report is negative, include language that deems
clearance to be issued if PCO does not respond.
How often can PBP requests for payment be submitted? - Answer-Not
more frequently than monthly. However, multiple events/milestones
may be on one monthly PBP payment request.
How often can the Government pay contractors for Progress Payments?
- Answer-Not more frequently than monthly in amounts of $2,500 or
more - FAR 52.232-1
How often is ACO required to input remarks/status updates to Metric
Studio Canceling Funds scorecard? - Answer-Monthly
How would you initiate closeout for a physical complete cost
reimbursable contract where DCAA has not yet audited the last incurred
cost proposal? - Answer-a. The last incurred cost proposal MAY not
affect the contract - it depends on the period of performance of the
contract.
b. DCMA INST 135 p 18 - 3.3.1.1. This would require the use of the
Class Deviation authorizing ACOs to close contracts prior to the
establishment of final indirect cost rates, regardless of dollar value or the
percent of unsettled indirect costs allocable to the contract. The
, deviation can be used provided the contractor has submitted a final
certified indirect cost rate proposal for the subject contract/order that has
been audited by the DCAA. In selected instances, the ACO may waive
the incurred cost audit requirement when compelling reasons exist
(canceling funds/program office request...). The decision to waive the
audit must be made by the ACO cognizant of establishing the Quick-
Closeout rate agreement in consultation with DCAA. ACOs are
encouraged to use this deviation to the maximum extent possible.
If a contractor fails to submit an accounting change description or a
required GDM or DCI proposal within the time specified by the CFAO,
what remedy does the Government have? - Answer-The CFAO can
estimate the GDM of the affected CAS-covered contracts and
subcontracts with the assistance of the DCAA auditor. The CFAO can
also withhold an amount not to exceed 10 percent of each subsequent
payment on the contractor's CAS-covered contracts up to the estimated
GDM until the contractor furnishes the required information. The CFAO
may also issue a final decision and unilaterally adjust the contract(s) by
the estimated amount of the cost impact.
If an agreement cannot be reached in determining billing rates, what can
the ACO do? - Answer-The billing rates may be unilaterally determined
by the contracting officer (or cognizant Federal agency official). FAR
42.704
If you can do change orders unilaterally, why would you have a change
in specs bilaterally? - Answer-You want to make spec changes
bilaterally to show that the contractor agrees to the changes and that they
agree to any compensation that is being given in return, if any.
