CON 3990 EXAM CONTRACTING
CERTIFICATION QUESTIONS AND
CORRECTLY VERIFIED ANSWERS [2026/2027]
What is the Micro-purhcase threshold for supplies? - Correct Answers -$10k
All incentive contracts (schedule or performance) must also include what? - Correct Answers -
Cost incentive or constraint
What requires funds to be used only for needs or services in the year of the appropriations
obligation period? - Correct Answers -Bona Fide Needs Rule
What contract types can be used for commercial item purchases? - Correct Answers -FFP or
FPEPA
What is the Simplified Acquisition Threshold for commercial products and services? What is it
for non-commercial? - Correct Answers -$7.5M - commercial $250k for non-commercial
True or False: The Gov shall use electronic commerce whenever practicable or cost-effective -
Correct Answers -True
What is the purpose of a contract file? (4) - Correct Answers -Provide background/basis for
decisions
Supporting actions taken
Provide information for reviews and investigations
Furnishing essential facts in the event of a litigation
Can contract files be combined if appropriate? - Correct Answers -Yes
,At what level are contract files maintained and why? - Correct Answers -Maintained at the
organizational level to ensure
effective documentation of contract actions
accessibility by principal users
minimal establishment of duplicate and working files
safeguarding classified docs
conformance with agency regs
When is a SAP contract file closed out? - Correct Answers -When the KO receives evidence of
receipt of property or final payment
When is a FFP (not SAP) contract file closed out? - Correct Answers -Should be closed out within
6 months after date KO receives evidence of physical completion
When should contract files required settlement of indirect cost rates be closed out? - Correct
Answers -Within 36 months of the month the KO receives evidence of physical completion
When should all other (not SAP, FFP, or indirect cost rate) contract files be closed? - Correct
Answers -Within 20 months of the month the KO receives evidence of physical completion
When is a contract considered physically complete? - Correct Answers -the KTR has completed
required deliveries and Gov has inspected and accepted the supplies
The contractor has performed all services and the Gov has accepted the services and
all option provisions, if any, have expired
or the Gov gives the KTR notice of termination
What are the steps to close out a contract file? - Correct Answers -1) Contract admin office is
responsible for initiating, reviewing contract fund status, and deobligating excess funds
, 2)KO issues a contract completions statement
3) KO files completed statement and signed copy send to admin office
How long are contract documents retained after closeout? - Correct Answers -6 years after final
payment
What does a KO need prior to commencement of negotiations for a sole source contract,
commencement of negotiations for a contract resulting from an unsolicited proposal, or award
without providing for full and open competition? - Correct Answers -Justification and Approval
which justifies the actions in writing, certifies the accuracy and completeness of the
justifications and obtains the approval required
The KO shall not award a sole-source contract for an amount exceeding $25M unless - Correct
Answers -they have a signed Justification and Approval
A J&A should include - Correct Answers -Description of action being approved
Description of supplies or services required + estimated value
statutory authority permitting other than full and open comp
demonstrate why specific KTR is required (instead of comp)
efforts made to solicit offers from other sources
determination of fair and reasonable anticipated cost
description of market research conducted
list of sources that expressed interest
statement of how agency may remove comp barriers in the future
KO certification
What are the thresholds for J&A approval - Correct Answers -under $750 - KO approval
over $750k and under $100M - HCA
CERTIFICATION QUESTIONS AND
CORRECTLY VERIFIED ANSWERS [2026/2027]
What is the Micro-purhcase threshold for supplies? - Correct Answers -$10k
All incentive contracts (schedule or performance) must also include what? - Correct Answers -
Cost incentive or constraint
What requires funds to be used only for needs or services in the year of the appropriations
obligation period? - Correct Answers -Bona Fide Needs Rule
What contract types can be used for commercial item purchases? - Correct Answers -FFP or
FPEPA
What is the Simplified Acquisition Threshold for commercial products and services? What is it
for non-commercial? - Correct Answers -$7.5M - commercial $250k for non-commercial
True or False: The Gov shall use electronic commerce whenever practicable or cost-effective -
Correct Answers -True
What is the purpose of a contract file? (4) - Correct Answers -Provide background/basis for
decisions
Supporting actions taken
Provide information for reviews and investigations
Furnishing essential facts in the event of a litigation
Can contract files be combined if appropriate? - Correct Answers -Yes
,At what level are contract files maintained and why? - Correct Answers -Maintained at the
organizational level to ensure
effective documentation of contract actions
accessibility by principal users
minimal establishment of duplicate and working files
safeguarding classified docs
conformance with agency regs
When is a SAP contract file closed out? - Correct Answers -When the KO receives evidence of
receipt of property or final payment
When is a FFP (not SAP) contract file closed out? - Correct Answers -Should be closed out within
6 months after date KO receives evidence of physical completion
When should contract files required settlement of indirect cost rates be closed out? - Correct
Answers -Within 36 months of the month the KO receives evidence of physical completion
When should all other (not SAP, FFP, or indirect cost rate) contract files be closed? - Correct
Answers -Within 20 months of the month the KO receives evidence of physical completion
When is a contract considered physically complete? - Correct Answers -the KTR has completed
required deliveries and Gov has inspected and accepted the supplies
The contractor has performed all services and the Gov has accepted the services and
all option provisions, if any, have expired
or the Gov gives the KTR notice of termination
What are the steps to close out a contract file? - Correct Answers -1) Contract admin office is
responsible for initiating, reviewing contract fund status, and deobligating excess funds
, 2)KO issues a contract completions statement
3) KO files completed statement and signed copy send to admin office
How long are contract documents retained after closeout? - Correct Answers -6 years after final
payment
What does a KO need prior to commencement of negotiations for a sole source contract,
commencement of negotiations for a contract resulting from an unsolicited proposal, or award
without providing for full and open competition? - Correct Answers -Justification and Approval
which justifies the actions in writing, certifies the accuracy and completeness of the
justifications and obtains the approval required
The KO shall not award a sole-source contract for an amount exceeding $25M unless - Correct
Answers -they have a signed Justification and Approval
A J&A should include - Correct Answers -Description of action being approved
Description of supplies or services required + estimated value
statutory authority permitting other than full and open comp
demonstrate why specific KTR is required (instead of comp)
efforts made to solicit offers from other sources
determination of fair and reasonable anticipated cost
description of market research conducted
list of sources that expressed interest
statement of how agency may remove comp barriers in the future
KO certification
What are the thresholds for J&A approval - Correct Answers -under $750 - KO approval
over $750k and under $100M - HCA
