ACO CORB LATEST 2026 EXAMS QUESTIONS AND
SOLUTIONS GUARANTEE A+
✔✔What is the difference between cost, and price analysis? - ✔✔Price analysis is the
process of examining and evaluating a proposed price without evaluating its separate
cost elements and proposed profit. FAR 15.404-1(b)(2)
Cost analysis is the review and evaluation of any of the separate cost elements and
profit or fee to determine a fair and reasonable price or to determine cost realism. It is
also the application of judgment to determine how well the proposed costs represent
what the cost of the contract should be assuming reasonable economy and efficiency.
FAR 15.404-1(c)
✔✔You are assigned negotiation of an unpriced order consisting of urgently needed
spare parts. After receipt of the contractor's proposal it is evident you will need more
funding. You immediately call the PCO who is out of the office for two weeks. The
Contracting Officer's Technical Representative tells you they talked with funding
personnel, that there is plenty of funding, to proceed and negotiate with the contractor
and that the PCO will provide additional funds when they return. How would you handle
this? - ✔✔To avoid anti-deficiency act violation ensure you get something in writing
showing availability of funds. Ask the COTR for a POC in the finance office and advise
that you are unable to proceed without written confirmation of funding availability.
✔✔What is the difference between a PNOM & PNM? - ✔✔The Pre-Negotiation
Objective (PNO) establishes the Government's initial negotiation parameters before
conducting the negotiation and document the Assigned Individual's determination of a
fair and reasonable price. The Assigned Individual shall document the pre-negotiation
objectives in a PNOM and must consider the results of the cost and pricing analysis
report or other reports provided.
The Price Negotiation Memorandum (PNM) is documentation of the results of the
negotiation. The Assigned Individual shall clearly state in the PNM how the negotiated
price was determined fair and reasonable. If the total negotiated price exceeds the total
pre-negotiation objective, the PNM shall include sufficient rationale for determining the
price fair and reasonable.
✔✔How many days does DCMA have to review a contract and ensure data integrity? -
✔✔30 days
✔✔What 7 items should the ACO pay special attention to during CRR? - ✔✔1.
Financing clauses
2. Payment instructions that conflict w/ regulatory requirements
3. Whether the contract is CAS covered
4. Billing and invoicing terms
5. Undefinitized Contract Actions to be negotiated by ACO
,6. Requirements for award fee, liquidated damages, specialty metals, consent to
subcontract, electronic invoicing, first article, special contract clauses (Section H)
7. Requirements for contractors to report contract performance outside the U.S.
✔✔What 6 elements are to be reviewed during initial CRR? - ✔✔1. Assignment to the
proper CMO
2. Assignment of proper pay office
3. Proper delegation received
4. Receipt of all attachments and exhibits
5. Other contract workload status
6. Requirements for additional functional support
✔✔What must be done if the trafficking in persons clause is not present? - ✔✔Bring it to
the PCO's attention, issue CDR if necessary
✔✔What should be considered when determining if a Post Award Orientation
Conference (PAOC) is to be held or not? - ✔✔a. Nature/extent of the pre-award survey
and any other prior discussions with contractor
b. Type, value, and complexity of the contract
c. Complexity and acquisition history of the product or service
d. Requirements for spare parts and related equipment
e. Urgency of the delivery schedule and relationship of the product/service to critical
programs
f. Length of the planned production cycle
g. Extent of subcontracting
h. Contractor's performance history and experience with the product or service
i. Contractor's status, if any, as a small business, small disadvantaged, women-owned,
veteran-owned, HUBZone, or service-disabled veteran-owned small business concern
j. Contractor's performance history with small, small disadvantaged, women-owned,
veteran-owned, HUBZone, and service-disabled veteran-owned small business
subcontracting programs
k. Safety precautions required for hazardous materials or operations
l. Complex financing arrangements, such as progress payments, advance payments, or
performance based payments
m. Assigned contractor personnel are new to Government contracting
✔✔What is a Post Award Conference and when should one be held? - ✔✔A Post
Award Conference aids both the Government and contractor personnel in achieving a
clear and mutual understanding of all contractual requirements and helps to identify and
resolve potential problems. A Post Award Conference should be held as soon as
possible after contract award if the ACO deems it necessary.
✔✔What is the process to close a contract? (Review Closeout Instruction - complex
issue and different for FFP and Cost type contracts) - ✔✔a. Review the contract and
determine if it is physically complete (final acceptance document received and entered
, into MOCAS - quantity of items shipped equals quantity ordered or within quantity
variance authorized)
b. Identify and remove excess funds from FFP contracts
c. Use the Contract Closeout Checklist and Contract Closeout Flowchart to ensure all
closeout actions are accomplished; Items to consider/verify:
d. Patents
e. Property Clearance
f. If contract contains a DD-254, verify completion of security actions, disposition of
classified material.
g. ULO
h. Have audits been received for all years; have rates been determined
i. Contractor submits a final voucher
✔✔What is the difference in closing fixed price vs cost type contracts? - ✔✔a. Time
frame, Rates, Identify Quick Closeout candidates
i. Fixed priced contracts must be closed within 6 months after date of physical
completion.
ii. Cost type contracts must be closed within 36 months after date of physical
completion.
b. Cost type (and T&M) contracts require a final audit from DCAA before closing
i. Audit looks for costs outside PoP and incorrect rates among other things
✔✔Explain Quick Closeout and the DCMA Deviation on Quick Closeout. - ✔✔a.
Deviation Letter (Sep 10, 2015) authorizes ACOs to close contracts prior to
establishment of indirect rates regardless of dollar value/percentage of unsettled costs
provided the contractor has submitted final certified indirect cost proposal which has
been audited OR a Low-Risk Memo received. Deviation expires September 30, 2017.
[see restrictions in the letter]
b. Quick Closeout Steps FAR 42.708
i. Identify quick closeout candidates that meet criteria
ii. Coordinate with DCAA/CACO/DACO/Contractor/PCO
iii. Obtain Information (historical rates past 3 years from contractor/DACO/DCAA)
iv. Analyze Information (table to compare rates, decrement factors, alternate rate
source)
v. Negotiate
vi. Prepare quick closeout agreement with bilateral signatures
vii. Process Final Vouchers (contractor to submit within 30 days of agreement
✔✔Explain allowable cost and payment and Disallowance of Cost. - ✔✔Allowable cost
is a cost the government will permit to be reimbursed to the contractor for performance
on a contract.
Disallowance of cost is the refusal of the government to recognize a cost as allowable.
The ACO will issue a Notice of Intent to Disallow Cost for any cost believed to be
unallowable under the contract terms or the contract cost principals in FAR 31
SOLUTIONS GUARANTEE A+
✔✔What is the difference between cost, and price analysis? - ✔✔Price analysis is the
process of examining and evaluating a proposed price without evaluating its separate
cost elements and proposed profit. FAR 15.404-1(b)(2)
Cost analysis is the review and evaluation of any of the separate cost elements and
profit or fee to determine a fair and reasonable price or to determine cost realism. It is
also the application of judgment to determine how well the proposed costs represent
what the cost of the contract should be assuming reasonable economy and efficiency.
FAR 15.404-1(c)
✔✔You are assigned negotiation of an unpriced order consisting of urgently needed
spare parts. After receipt of the contractor's proposal it is evident you will need more
funding. You immediately call the PCO who is out of the office for two weeks. The
Contracting Officer's Technical Representative tells you they talked with funding
personnel, that there is plenty of funding, to proceed and negotiate with the contractor
and that the PCO will provide additional funds when they return. How would you handle
this? - ✔✔To avoid anti-deficiency act violation ensure you get something in writing
showing availability of funds. Ask the COTR for a POC in the finance office and advise
that you are unable to proceed without written confirmation of funding availability.
✔✔What is the difference between a PNOM & PNM? - ✔✔The Pre-Negotiation
Objective (PNO) establishes the Government's initial negotiation parameters before
conducting the negotiation and document the Assigned Individual's determination of a
fair and reasonable price. The Assigned Individual shall document the pre-negotiation
objectives in a PNOM and must consider the results of the cost and pricing analysis
report or other reports provided.
The Price Negotiation Memorandum (PNM) is documentation of the results of the
negotiation. The Assigned Individual shall clearly state in the PNM how the negotiated
price was determined fair and reasonable. If the total negotiated price exceeds the total
pre-negotiation objective, the PNM shall include sufficient rationale for determining the
price fair and reasonable.
✔✔How many days does DCMA have to review a contract and ensure data integrity? -
✔✔30 days
✔✔What 7 items should the ACO pay special attention to during CRR? - ✔✔1.
Financing clauses
2. Payment instructions that conflict w/ regulatory requirements
3. Whether the contract is CAS covered
4. Billing and invoicing terms
5. Undefinitized Contract Actions to be negotiated by ACO
,6. Requirements for award fee, liquidated damages, specialty metals, consent to
subcontract, electronic invoicing, first article, special contract clauses (Section H)
7. Requirements for contractors to report contract performance outside the U.S.
✔✔What 6 elements are to be reviewed during initial CRR? - ✔✔1. Assignment to the
proper CMO
2. Assignment of proper pay office
3. Proper delegation received
4. Receipt of all attachments and exhibits
5. Other contract workload status
6. Requirements for additional functional support
✔✔What must be done if the trafficking in persons clause is not present? - ✔✔Bring it to
the PCO's attention, issue CDR if necessary
✔✔What should be considered when determining if a Post Award Orientation
Conference (PAOC) is to be held or not? - ✔✔a. Nature/extent of the pre-award survey
and any other prior discussions with contractor
b. Type, value, and complexity of the contract
c. Complexity and acquisition history of the product or service
d. Requirements for spare parts and related equipment
e. Urgency of the delivery schedule and relationship of the product/service to critical
programs
f. Length of the planned production cycle
g. Extent of subcontracting
h. Contractor's performance history and experience with the product or service
i. Contractor's status, if any, as a small business, small disadvantaged, women-owned,
veteran-owned, HUBZone, or service-disabled veteran-owned small business concern
j. Contractor's performance history with small, small disadvantaged, women-owned,
veteran-owned, HUBZone, and service-disabled veteran-owned small business
subcontracting programs
k. Safety precautions required for hazardous materials or operations
l. Complex financing arrangements, such as progress payments, advance payments, or
performance based payments
m. Assigned contractor personnel are new to Government contracting
✔✔What is a Post Award Conference and when should one be held? - ✔✔A Post
Award Conference aids both the Government and contractor personnel in achieving a
clear and mutual understanding of all contractual requirements and helps to identify and
resolve potential problems. A Post Award Conference should be held as soon as
possible after contract award if the ACO deems it necessary.
✔✔What is the process to close a contract? (Review Closeout Instruction - complex
issue and different for FFP and Cost type contracts) - ✔✔a. Review the contract and
determine if it is physically complete (final acceptance document received and entered
, into MOCAS - quantity of items shipped equals quantity ordered or within quantity
variance authorized)
b. Identify and remove excess funds from FFP contracts
c. Use the Contract Closeout Checklist and Contract Closeout Flowchart to ensure all
closeout actions are accomplished; Items to consider/verify:
d. Patents
e. Property Clearance
f. If contract contains a DD-254, verify completion of security actions, disposition of
classified material.
g. ULO
h. Have audits been received for all years; have rates been determined
i. Contractor submits a final voucher
✔✔What is the difference in closing fixed price vs cost type contracts? - ✔✔a. Time
frame, Rates, Identify Quick Closeout candidates
i. Fixed priced contracts must be closed within 6 months after date of physical
completion.
ii. Cost type contracts must be closed within 36 months after date of physical
completion.
b. Cost type (and T&M) contracts require a final audit from DCAA before closing
i. Audit looks for costs outside PoP and incorrect rates among other things
✔✔Explain Quick Closeout and the DCMA Deviation on Quick Closeout. - ✔✔a.
Deviation Letter (Sep 10, 2015) authorizes ACOs to close contracts prior to
establishment of indirect rates regardless of dollar value/percentage of unsettled costs
provided the contractor has submitted final certified indirect cost proposal which has
been audited OR a Low-Risk Memo received. Deviation expires September 30, 2017.
[see restrictions in the letter]
b. Quick Closeout Steps FAR 42.708
i. Identify quick closeout candidates that meet criteria
ii. Coordinate with DCAA/CACO/DACO/Contractor/PCO
iii. Obtain Information (historical rates past 3 years from contractor/DACO/DCAA)
iv. Analyze Information (table to compare rates, decrement factors, alternate rate
source)
v. Negotiate
vi. Prepare quick closeout agreement with bilateral signatures
vii. Process Final Vouchers (contractor to submit within 30 days of agreement
✔✔Explain allowable cost and payment and Disallowance of Cost. - ✔✔Allowable cost
is a cost the government will permit to be reimbursed to the contractor for performance
on a contract.
Disallowance of cost is the refusal of the government to recognize a cost as allowable.
The ACO will issue a Notice of Intent to Disallow Cost for any cost believed to be
unallowable under the contract terms or the contract cost principals in FAR 31
