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CON 3990V- Pre practice Test 3 Questions and Answers with
Complete Solutions UPDATED!!!
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 -
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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):
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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.
CON 3990V- Pre practice Test 3 Questions and Answers with
Complete Solutions UPDATED!!!
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 -
,2|Page
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):
, 3|Page
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.
