FAC-C (PROFESSIONAL) PRACTICE EXAM:
COMPREHENSIVE MULTIPLE-CHOICE QUESTIONS
WITH ANSWERS AND DETAILED RATIONALES
RECENT UPDATE TO DATE (2026).
1. Which Federal Acquisition Regulation (FAR) principle states that acquisition
personnel should exercise personal initiative and sound business judgment
when the FAR does not specifically address a situation?
A. Full and open competition
B. Acquisition planning
C. Exercise of initiative and sound business judgment
D. Simplified acquisition procedures
Rationale: FAR encourages acquisition professionals to use sound business
judgment when a strategy is not prohibited by law or regulation.
2. What is the primary purpose of acquisition planning?
A. Increase administrative workload
B. Delay contract award
C. Ensure the government meets its needs in the most effective, economical, and
timely manner
D. Reduce contractor competition
Rationale: Acquisition planning helps agencies satisfy mission requirements
efficiently while promoting competition and value.
3. Which contract type places the greatest cost risk on the contractor?
A. Cost-plus-fixed-fee
B. Cost-plus-award-fee
C. Time-and-materials
D. Firm-fixed-price
,Rationale: Under firm-fixed-price contracts, the contractor bears responsibility for
cost overruns.
4. Market research should be performed:
A. Only after contract award
B. Only for construction contracts
C. Before developing the acquisition strategy
D. Only when required by Congress
Rationale: Market research helps identify commercial solutions, industry
capabilities, and acquisition approaches.
5. Which FAR Part primarily addresses acquisition planning?
A. FAR Part 5
B. FAR Part 13
C. FAR Part 7
D. FAR Part 15
Rationale: FAR Part 7 establishes policies and procedures for acquisition planning.
6. The Competition in Contracting Act generally requires:
A. Sole-source awards whenever possible
B. Full and open competition unless an exception applies
C. International competition only
D. Price negotiations on every contract
Rationale: Competition is the preferred method for obtaining best value.
7. A contracting officer's warrant authorizes the individual to:
A. Approve agency budgets
B. Supervise contractor employees
C. Enter into, administer, and terminate contracts within delegated authority
D. Conduct technical evaluations only
Rationale: A warrant establishes contracting authority and limits.
, 8. Which document typically describes the government's minimum needs?
A. Purchase order
B. Source selection plan
C. Statement of Work (SOW)
D. Contract modification
Rationale: The SOW communicates required work and performance expectations.
9. Which FAR Part primarily governs commercial product and commercial
service acquisitions?
A. FAR Part 5
B. FAR Part 12
C. FAR Part 17
D. FAR Part 36
Rationale: FAR Part 12 promotes acquisition of commercial products and services.
10.What is the primary purpose of an Independent Government Cost Estimate
(IGCE)?
A. Determine contractor profit
B. Replace contractor proposals
C. Provide the government's estimate for planning and evaluation purposes
D. Set contractor salaries
Rationale: The IGCE supports budgeting, negotiations, and proposal evaluation.
11.Which procurement method is most commonly associated with simplified
acquisitions?
A. Sealed bidding only
B. Cost reimbursement
C. Simplified Acquisition Procedures
D. Broad agency announcement
Rationale: Simplified procedures reduce administrative costs for eligible
acquisitions.
COMPREHENSIVE MULTIPLE-CHOICE QUESTIONS
WITH ANSWERS AND DETAILED RATIONALES
RECENT UPDATE TO DATE (2026).
1. Which Federal Acquisition Regulation (FAR) principle states that acquisition
personnel should exercise personal initiative and sound business judgment
when the FAR does not specifically address a situation?
A. Full and open competition
B. Acquisition planning
C. Exercise of initiative and sound business judgment
D. Simplified acquisition procedures
Rationale: FAR encourages acquisition professionals to use sound business
judgment when a strategy is not prohibited by law or regulation.
2. What is the primary purpose of acquisition planning?
A. Increase administrative workload
B. Delay contract award
C. Ensure the government meets its needs in the most effective, economical, and
timely manner
D. Reduce contractor competition
Rationale: Acquisition planning helps agencies satisfy mission requirements
efficiently while promoting competition and value.
3. Which contract type places the greatest cost risk on the contractor?
A. Cost-plus-fixed-fee
B. Cost-plus-award-fee
C. Time-and-materials
D. Firm-fixed-price
,Rationale: Under firm-fixed-price contracts, the contractor bears responsibility for
cost overruns.
4. Market research should be performed:
A. Only after contract award
B. Only for construction contracts
C. Before developing the acquisition strategy
D. Only when required by Congress
Rationale: Market research helps identify commercial solutions, industry
capabilities, and acquisition approaches.
5. Which FAR Part primarily addresses acquisition planning?
A. FAR Part 5
B. FAR Part 13
C. FAR Part 7
D. FAR Part 15
Rationale: FAR Part 7 establishes policies and procedures for acquisition planning.
6. The Competition in Contracting Act generally requires:
A. Sole-source awards whenever possible
B. Full and open competition unless an exception applies
C. International competition only
D. Price negotiations on every contract
Rationale: Competition is the preferred method for obtaining best value.
7. A contracting officer's warrant authorizes the individual to:
A. Approve agency budgets
B. Supervise contractor employees
C. Enter into, administer, and terminate contracts within delegated authority
D. Conduct technical evaluations only
Rationale: A warrant establishes contracting authority and limits.
, 8. Which document typically describes the government's minimum needs?
A. Purchase order
B. Source selection plan
C. Statement of Work (SOW)
D. Contract modification
Rationale: The SOW communicates required work and performance expectations.
9. Which FAR Part primarily governs commercial product and commercial
service acquisitions?
A. FAR Part 5
B. FAR Part 12
C. FAR Part 17
D. FAR Part 36
Rationale: FAR Part 12 promotes acquisition of commercial products and services.
10.What is the primary purpose of an Independent Government Cost Estimate
(IGCE)?
A. Determine contractor profit
B. Replace contractor proposals
C. Provide the government's estimate for planning and evaluation purposes
D. Set contractor salaries
Rationale: The IGCE supports budgeting, negotiations, and proposal evaluation.
11.Which procurement method is most commonly associated with simplified
acquisitions?
A. Sealed bidding only
B. Cost reimbursement
C. Simplified Acquisition Procedures
D. Broad agency announcement
Rationale: Simplified procedures reduce administrative costs for eligible
acquisitions.
