Citysoft Case Essay

Citysoft Case Essay
ACC503–CitySoft Case Analysis
1. Should we be concerned that CitySoft is focusing on cost, operational control, systems, and quality at the expense of growth?
Answer: We don't need to be concerned about this issue too much. Actually CitySoft has been growing fast since 1998 to 1999, and it is the time to
focus more on its cost, operational control and systems in order to improve CitySoft's profitability in the future. Refining the process of operation and
cost management is quite necessary for CitySoft at this point, because if it kept expanding without improving its cost, operational control and system
management, it would make little profit according to the huge cash flow. We can see clearly that CitySoft has already invested much... Show more
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If a good cost–measurement system was set up, cost–plus contracts will demonstrate the advantages of cost–management better than fixed price
contracts do. With a robust cost–measurement system, managers are able to know the real revenue drivers, to recognize the most valuable customers,
and to offer more reasonable price bid. That is to say, cost–measurement system's strength lies in differentiating clients' value, projects' value and
operation processes' value case by case. Under this circumstance, cost–plus contracts would surely dig more utilization and benefit more from such a
system, because CitySoft would be able to charge different customers and projects for different prices, which is critical for increasing profitability. 5.
What reports will CitySoft need to make those one–time decisions and decisions it will have to make on an on–going basis (in Question #2)? Who
should prepare those reports, who should have access to these reports, and how frequently should they be prepared?
Reports need to make | Report| Prepared by| Access permit| Frequency| One time decisions
One time decisions | Expansion or Management Improvement| Finance & Operation & Business Development managers| Managers| Once| | Fixed Fee
Contract or Cost–Plus Contract| Operation & Finance department managers| All employees| Once| On–going based decisions
On–going based
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Types Of Contract Method For Construction Management
2.3Contracts There are several types of contract method and these methods generally fall under three categories: Fix price (FP) or lump sum (LS),
guaranteed maximum price (GMP) and reimbursable contracts. These methods can be applied to any contracting for construction management.
Lump sum contact, also called fixed price is when an owner engages an entity to perform a fixed scope of work for an agreed lump sum payment
(Cmaa, 2012). Guaranteed Maximum Price (GMP) is a contractual arrangement between an owner and an entity to perform a fixed scope of work
for a price that is guaranteed to not exceed the stated maximum price. GMP typically includes a base cost along with several allowances and
contingencies and may result in final cost lower than stated GMP. These savings may fall to the owner or may be shared among the owner and the
engaged entity (Cmaa, 2012). Reimbursable contracts come in a variety of forms and sometimes it is coupled with a not to exceed maximum price.
Reimbursable contract is an arrangement between an owner and an entity to perform a fixed or variable scope of work based on agreed calculated
method. Reimbursable contract includes unit price, cost plus fixed fee, cost plus incentive fee, time spent and time and materials (Cmaa, 2012).
Reimbursable Terms (Cmaa, 2012)(Antoniou, Aretoulis, Konstantinidis, & Kalfakakou, 2013) Unit price payment is an actual quantity at set unit
prices. Cost plus fixed fees payment is based on actual cost plus a fixed

Questions On Common Types Of Contracts
Contract Types There are multiple factors that influence the type(s) of contract(s) utilized/selected within a project. Some of these factors include: the
level of uncertainty related to the scope of work, the amount of project risk willing to be assumed, importance of meeting schedule milestone dates, and
the need for projected costs, among others (Darnall & Preston, 2013). Whatever the driving factors are in the selection process, once established, the
type of contract selected can have a significant influence on the decision making process related to the trade–off of the triple constraints of cost, time,
and performance (Kerzner, 2013). This paper will briefly explain five common types of contracts focusing primarily on how each type can affect
project constraint trade–off.
Common Types of Contracts There are two general types of contracts: fixed price and cost reimbursable, with each main type having several variations
(Darnall & Preston, 2013). The two most common variations of fixed price contracts are, firm–fixed–price and fixed–price–incentive–fee (Kerzner,
2103). For cost reimbursable contracts, the three most common variations are, the cost–plus–incentive–fee, the cost–plus–award–fee, and the
cost–plus–fixed–fee (Kerzner, 2013). Each type and variation influences project trade–off decisions relative to the triple constraints of cost, time, and
performance differently (Kerzner, 2013).
Firm–Fixed–Price (FFP) In a FFP contract, all costs are incorporated

Essay about Rich Manufacturing
Rich Manufacturing
Saint Leo University
MBA 540
Sep 8, 2011
Why do many firms use cost–plus pricing for supply contracts?
Firms use cost–plus pricing in order to cover their operating costs. Cost–plus means they can increase the price to their customers with whom they have
contracts when the operating costs rise. Operating costs can rise for many reasons and cost–plus pricing allows firms the flexibility to manage operating
costs. This flexibility is often needed when the price of a service or good is not known or hard to predict in advance (Magloff, 2011).
What potential problems do you envision with cost–plus pricing?
Potential problems may occur if there is no contract between the firm and its customers for ... Show more content on Helpwriting.net ...
In the short term, it may be beneficial to complete the contract with Bhagat and for long term planning, find another supplier with a more competitive
price. She can use the short run cost curves to determine her near term pricing and production requirements. The long run cost curve can be used to
determine if a new plant or new supplier is necessary to decrease operating costs.
How will a $3 increase in the price of machine parts affect Gina's own production decisions?
The three dollar increase will be added on to Rich Manufacturing's product price. In order to lessen customer anger over increased prices, Gina can
suggest an increase in the marketing budget to minimize the price increase. She also may want to take into consider the long term plans. For example,
if in the long term they can decrease the price while increasing production (perhaps with a new supplier); they may want to absorb the current increase
in price instead of passing it on to their customers. In the short term, money may be lost, but with successful long term planning they can increase

profits and maintain customer loyalty (by not increasing price).
References
Brickley, J., Smith, C. & Zimmerman, J. (2009). Managerial Economics and Organizational Architecture. (5th Ed.). New York, NY. McGraw
–Hill and
Irwin.
Magloff, L. (2011). What Is Cost–Plus Pricing Strategy? Demand Media. Retrieved from:

Procurement Contract Assessment Paper
Procurement Contract Assessment Dayne Dickson, Scott Giles, Ronald Fletcher, & Dale Bierman Bellevue University Procurement Contract
Assessment It is essential that project managers have a thorough understanding of procurement concepts, and the contracts that are involved in the
practice. This assignment will focus on the types (Fixed Price, Cost Reimbursable, and Time and Material), and subtypes of procurement contracts,
and discuss the pros, cons, and the burden of risk of each. At the end of the assessment, (FFP). This a clear understanding of which type of contract is
least advantageous choice for the ACME breakroom construction project. Further, the paper will highlight this type of contract is a bad choice, and
discuss... Show more content on Helpwriting.net ...
This type of contract is a hybrid of the Fixed Price and Cost Reimbursable contract, in that, the buyer and seller agree on a unit rate such as labor cost.
This type of contract will not be considered as an option because it is generally used for staff augmentation, and is not ideal for ACME's construction
project needs. The Choice When considering the worse contract type, the team was cognizant of the previous contract failures ACME had gone through
in the past. As a company, ACME lacks expertise in demolition or construction, which makes the organization susceptible to risk when choosing certain
contract styles. Because of these skillset limitations, (FFP). This inherent risk that are both known and unknown when entering into the contract
negation phase. To minimize the risk of unforeseen cost, the ACME team has viewed the Cost Plus Percentage of Cost (CPPC) as the riskiest contract
type to

Atlantic Computer
Atlantic Computer – Business case
Case introduction
Atlantic Computer is a manufacturer of servers and other high–tech products. Following the growth of the internet there has been an increase of
demand for cheaper, Basic Segment Servers. Atlantic Computer, currently having a 20% market share in the High Performance Server market, has
decided to expand their product range and enter the Basic Segment market. Their response to the projected 36% compound annual growth in demand
for Basic Servers has come in the form of the "Atlantic Bundle". A Basic Segment server, called "Tronn", with an innovative software tool.
"Performance Enhancing Service Accelerator", or PESA, which would allow the Tronn to perform up to four times faster than its... Show more content
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| Disadvantages: pricing can be swayed by changes in electricity or license prices, decreasing the strength of the savings sharing.|
In order to calculate the total potential revenue, we use the total potential sales in three years of 21.180, again assuming that all customers are
seeking a four basic server package. In order to make number more realistic, we shall also make use of the 50% attach rate as used in the cost–plus
approach. Note: this is however still a fictional number to illustrate the differences in profit margins.
| Total Revenue| Cost price & investment| Total profit| Status–quo pricing| $ 42.360.000,–| $ 34.574.840,–| $ 7.785.160,–| Competition–based pricing| $
72.012.000,–| $ 34.574.840,–| $ 37.437.160,–| Cost–plus pricing| $ 47.551.218,–| $ 34.574.840,–| $ 12.976.378,–| Value–in–use pricing| $ 67.776.000,–|
$ 34.574.840,–| $ 33.201.160,–|
Customer profile DayTraderJournal.com
DayTraderJournal.com is a SME that provides training information and tips to prospective day traders. Their revenue comes from selling advertising
space on their website. Their requirements are a minimization of acquisition costs, minimization of possession costs and a large capacity for processing
information requests.
First we determine whether PESA would be a significant improvement, making use of the figures in Exhibit 2. As the web server hosting performance
goes up by roughly 409%, and this being

The Concept Of Cardinal Change
Legal Research Assignment
My legal research paper is on the concept of Cardinal change. Cardinal change is one of three legal classifications of change. A change is define as
followed; "Any alteration to a contract permitted by the Changes clause of a contract." (Nash, Scooner, & O 'Brien, 2007). "Most construction
contracts contain a clause governing changes that allows the owner to change or modify the work required under the contract documents." (Loulakis &
Santiago, 2001). When clause mentioned above is included in the contractor it means the contractor is typically required to perform the change. Now a
cardinal change is considered a major change to the contract. A Cardinal change is define as followed; "A change that is beyond the... Show more
Air–a–plane Corporation v. the United States, 408 F.2d 1030 (Ct. Cl. 1969), is the first case I'm going discuss in which cardinal change was used for
the basis of a law suit. Air–A–Plane Corporation sign a contract with the Army Chemical Corps to make over 1100 smoke generators which were
designated to be M3A1. The total fixed–price contract price was $607,101.04. The major issue that occur with the agreement was the large number of
changes made by the Government after the contract was awarded. Yes, the contain the clause governing changes that allowed Army Chemical Corps to
change or modify the work required but Air–A–Plane Corporation did not expect such a large number of changes. "This belief was based principally
on the fact that the contract, by way of detailed and comprehensive specifications and drawings, described the contract items minutely. This belief was
apparently also based in part upon the fact that the contract was a fixed price contract." (Justia, 1969). For the first issue the board found that a large
number of changes were made after the contract was awarded. Whether they look at the number Air–A–Plane Corporation submitted or the one Army
Chemical Corps submitted, the number was still large. "The first change

Cost Plus History
Cost Plus World Market History
The first Cost Plus opened in 1958, when a San Francisco businessman parlayed his passion for travel into an import business by selling a shipload of
hand–woven wicker from a local pier. The furniture sold out within a few days, but the idea lived on. Now Cost Plus World Market's store at
Fisherman's Wharf in San Francisco is a favorite destination for tourists and locals alike. (Cost Plus World Market)
With such a receptive audience eagerly awaiting his return, it only made sense to open a store. And in 1958 he opened the first store in San
Francisco's famed Fisherman's Wharf and called it Cost Plus World Market. The store quickly became a destination for those who craved original and
handmade items from ... Show more content on Helpwriting.net ...
The wines that they sell include wine, micro brewed and imported beers, coffee, tea and bottled water. The wine assortment is moderately priced
premium wines that are not readily available at a neighborhood wine or grocery store. The staffs are trained and can help with the different wines as to
what the consumer is looking for with the budget they are working with. The company routinely shops a variety of retailers to ensure that its products
are competitively priced. (Cost Plus World Market)
Company strength for the company is that they are online, and since many people are connected to the internet they can reach many more consumers.
Outside of the shopping the company has available on the website its Annual Report, Quarterly Reports, and Currents reports. The website gives
information for the investors, merchandisers, etc. Cost Plus World Market offers different coupons for sales and percent off on the internet as well.
Since they shop the other competition retailers to make sure they have a competitive price you can feel comfortable that you will get the best price out
there for unique items.
Cost Plus World Market Organizational Weaknesses
Cost Plus World Market has significant debt and may incur from this substantial debt added to it in the future. A good portion of the future cash flow
for the companies operating activities will likely be dedicated to the payment of interest and the repayment of principal on the indebtedness.

Hybrid Contracts for Small Business
Hybrid Contracts for Small Business
Introduction
There are many different forms of contracts in which the CEO of a small local business could use to try to acquire business from the local Navy base.
Most traditional contracts are composed of either fixed price contracts or cost reimbursement type contractual arrangements. However, a new type of
contract has emerged that offers small businesses alternatives to the traditional bidding structures. The new alternatives to traditional contracts offer
small business a great deal more flexibility in their design. This acts as an incentive for small businesses to bid on various contracts that they might
have been uncomfortable with in previous models. The hybrid contract provides a pathway to new opportunities for small business. This paper will
briefly outline some of the types of contracts available and discus how they might apply to a small business.
Types of Contracts
The fixed price contract can be used as an effective, efficient, and accountable contract too. Fixed pricing is typically used when the product or
service is being transferred that is relatively easy to determine a fair market value. For example, a fixed price contract might be used to purchase
office equipment because the price is not generally subject to a large and subjective interpretation. It also is efficient because it cuts out some of the
administrative burden that is placed on the relevant parties (U.S. Government, N.d.). In more complex fixed price

Procurement Planning
Procurement Planning CPMGT302
Kerzner (2009) defines procurement and contracting as the "process that involves two parties with different objectives who interact on a given market
segment." (p. 840) As with every phase of project management, proper planning is key to the success of any project by ensuring the project gets the
most out of any supplier relationships. This paper will define the project procurement planning process and how risk management affects that process.
Procurement Planning There are several pieces to the procurement planning process that include documenting the procurement requirements, identifying
... Show more content on Helpwriting.net ...
In CPIF contracts the seller is reimbursed for all allowable expenses and receives a fee based upon achievement of performance objectives. In CPAF
contracts the seller is reimbursed for legitimate costs, but most of the fee is base upon the subjective satisfaction of the buyer. Time and material
contracts are a hybrid as they contain aspects of both fixed–price and cost–reimbursable contracts. This contract type is used when it is impossible to
estimate accurately the extent or duration of the contracted work. Time and material contract represents the highest risk to the buyer. Outputs Outputs
of the procurement planning process include the procurement management plan, procurement statements of work, make–or–buy decisions,
procurement documents, source selection criteria, and change requests to the project management plan. Procurement statements of work (SOW) are
the most valuable output of the plan procurement process. These documents directly correlate to the project scope baseline and specify the portion of
the project scope to be included in any related contract. The SOW allows perspective sellers to determine if they are capable of provided for the needs
of the contract before they bid, thus eliminating time and effort wasted for both the buyer and seller. This ultimately leads to the greatest efficiency in
identifying the right source for the

Essay on Supply Chain Partners: Virginia Mason and Owens &
Synopsis:
Michael Stefanic, director of cost management at Owens & Minor (O&M), a medical and surgical supplies distributor and Daniel Borunda, material
systems manager at Virginia Mason (VM) Medical Center came together to try to battle healthcare costs and improve the healthcare supply chain.
Virginia Mason, a private non–profit healthcare organization based out of Seattle, offered both primary and specialized care and developed the
Virginia Mason Production System (VMPS). The VMPS was a modified version of the Toyota Production System that helped VM work towards its
goal of being a quality leader, emphasized line–level employee teamwork, and fought for a zero defect rate. The components of VMPS included
value–stream mapping ... Show more content on Helpwriting.net ...
After the TSCC model was created, VM realized that they and O&M shared in creating the defects and decided to split the cost of rework and
appropriate 50% of it to themselves in the TSCC.This deflected any adversarial relationship and helped them both improve the process. The mindset of
VM in splitting rework costs 50/50 with O&M also encouraged them to share equally in any real savings from the program. The "gain share contract"
incentivized VM to reduce its costs and ensured O&M would implement efficient processes and keep costs low.
The TSCC model also encouraged O&M to want to get other hospitals in Seattle to use it. Stefanic believed that hospitals standardizing their orders
would decrease O&M's on–hand inventory SKUs, thus creating cost saving opportunities for the hospitals. However, O&M's move towards fewer
SKUs has proven a daunting task in the healthcare industry.
Effects of VM's lean philosophy:
VMs lean philosophy affected the partnership in many ways. O&M

Project Scoop Analysis
The team started with collecting information on the requirements needed to build a school according to management specifications. The NEGL
demands a location for the project, that should consist of the two class rooms per grad, supplementary classrooms, drawing and craft studies, computer
labs, multipurpose rooms, a main hall, a restaurant, an administration section, an indoor playground, an outdoor play area, and car parking lot.
PROJECT SECOPE: To begin with project scoop, it is a documentation of a project to which assigns work to the employees and staff, and that they
are not allowed to be doing and other part of work which they are not assigned too, as stated from our company ACC
PROJECT DELIVERY METHOD: Project delivery... Show more content on Helpwriting.net ...
I chose the cost–plus–fee because it has a specific time is 11 months. The schedule should finalize to be apple to complete the project, no matter the
cost, but the time. These are the two reasons I chose the cost–plus–fee because it has specific time which is 11 months, to be able to finalize the
schedule, and complete the project, no matter the cost, but the time.
W B S
The WBS explains how to reward the work of the team, and how the teams works finishes the project before time.in this chart, the steps of the project
will be explain from the beginning of the project until the ending.
DRAFT SCHEDULE:
In this graph, the time and plan will be explained. The timing will be monthly and want will be worked on step by step.
CONCLUSION:
So we have many types to finish build the school, but we should get a strategy like to do plane to walk on it. If anyone want to build something, sure we
need a plane to make it essay for us. For example, DESIGN–BUILD and in this case we used this topic, because we don't matter about the cost, but we
need the time and I used COST–PLUS–FEE contracts. That is why you ned to start plan before to start work to see everything essay and show all
things and when have any something wrong can

Proj410 Bpo Cloud Computing Case Study Essay
BPO and Cloud Computing Case Study 1
PROJ 410 Contracts and Procurement
Purpose
Smith's Information Services is in the process of implementing a corporate overhead reduction program. This is due in part to the increasing costs of
operating and maintaining an in–house data center, as well as flattened sales and reduced profits. For these reasons Smith's Information Services is
looking to outsource the company's data center to an outside vendor. The increasing overhead costs include personnel costs to operate and maintain the
data center's servers, data center cooling costs, and electrical utility costs required to run the data center. Reducing these overhead costs, by outsourcing
the data center, will help Smith's Information ... Show more content on Helpwriting.net ...
There should be no compromise to the company's business practices or access to the company's data. Besides personnel costs and utility overhead
costs, Smith's Information Services would be able to reduce the company's infrastructure which will also help to maximize profits.
Vendor Considerations
Since Smith's Information Services Company is in the business of processing and analyzing consumer data, the minimum number of vendors to
solicit for outsourcing the data center would be three, with a maximum of ten. This would provide not only a fair solicitation process, but also would
ensure the company receives the best value for the services provided by the selected vendor. While the goal of the outsourcing is to reduce the
company's soaring overhead costs, simply selecting any cloud computing company based on cost alone would be foolish. Ensuring there are multiple
vendors solicited for this service would ensure the company's costs are reduced while still maximizing profits. Given that personnel costs account for
the majority of a company's overhead costs, followed closely by utilities costs, any vendor solicited should cost less than Smith's Information Services
is currently spending on its employees and utilities. Limiting the number of vendors solicited to ten or less would also ensure a quick evaluation period
without the chance of getting mired in minute details between the

Advanced Project Management
Telestar International (Chapter 7 – Page 312)
1.Who do you believe is at fault in this situation?
I believe that the Project Manager is at fault in this situation. The structures manager strongly advised the project manager not to stop the activities in
this department before testing the plant's high–pressure pneumatic and electrical systems. The structures manager warned the project manager and even
mentioned that the test was scheduled for the next month. I think it would have been more important to consider this risk and prevent this from
happening, alone from a safety perspective. The project manager also mentioned that his boss expects him to finish this project without a cost overrun.
However, maybe it would have been of ... Show more content on Helpwriting.net ...
It is typically used when there is a scope of services, but it is not well defined or when there are too many uncertainties for the seller to use a fixed price
contract.
I probably would try to approach the customer with my problems in hopes of relief. Also, it would only be fair to the customer to be informed, since
it's not a fixed–price contract and additional work would require additional fees to be paid.
4.If you were the customer of this cost–plus program, what would your response be for additional funds for the bathtub period, assuming cost overrun?
Since this is not a fixed–price contract, it's quite common that cost overruns occur due to the scope of services not being well defined. I would
consider my options and try to make a decision considering the most effective and efficient way to complete the project. If additional funds and cost
overruns are inevitable, I would try to determine if it would be worth it to crash the project and reduce costs in another way. It even depends on the
kind of cost–plus contract. A CPF contract for example would actually give the seller an incentive to overspend because the higher the cost the higher
the profit. So I would be more than glad to be involved considering the circumstances.
5.Would your previous answer chang if the program had the money available as a result of an underrun?
As I mentioned in my previous answer, since the scope is not as well

The Effect Of Changing Demand On Kokosing 's Pricing...
Introduction Problem Statement This paper will study the effect of changing demand on Kokosing's pricing strategy, specifically when conducting
government funded projects. Background Kokosing Construction Company is a large construction firm based in Ohio that primarily conducts highway
projects for the Ohio Department of Transportation (Kokosing, 2009). Due to the nature of the projects conducted by Kokosing, the company's pricing
strategy is unique since the projects must first be won through bidding. Due to high competition and the nature of the projects, Kokosing essentially
uses a cost–plus pricing strategy to determine their bids. Therefore, Kokosing has the ability to alter their price and profit margin for each project.
Moreover, this scenario is unique because Kokosing has the opportunity to use the price to their advantage: during low demand they can decrease their
profit margin to win bids and gain projects and vice versa during peak demand. Thus, research will be conducted to determine if demand truly does
have an effect on Kokosing's pricing strategy and the reasoning behind the strategy. Overview In order to investigate the problem statement, in section 2
the theories of cost–plus pricing and elasticity of demand will be defined and explained in depth. Additionally, section 2 contains the discussion about
how each theory addresses the problem statement. Section 3 will contain the research conducted, specifically an overview of the information gained

Contract Specialist: A Case Study
Erica L Shaw Contract Specialist Army Geospatial Center Erica Shaw was selected as a contract specialist local intern with the U.S. Army Corps of
Engineers (USACE) Army Geospatial Center (AGC) Contracting Office on February 9, 2014. As a contract specialist intern, Erica is responsible for
the acquisition and contract administration for Broad Agency Announcements, Small Business Set Aside Task Orders and procuring services and
supplies. Erica currently serves as the leader on AGC's small purchase acquisitions efforts. She established a process for awarding small purchases and
assisting customers with understanding Army Computer Hardware Enterprise Software and Solutions for acquiring services and IT supplies. Erica
provides leadership by effectively creating templates distributed throughout the agency to assist customers and project managers with Goal 1 Waiver
requests and documents required for procurement requirement packages. From2011–2013, Erica served in the U.S. Mission Installation Contracting
Command as a Government Purchase Card (GPC) Alternate/Agency Program Coordinator, Department of the Army, at Fort Leonard Wood, MO. In
this position, in an office with over 200 files, Erica managed 80 of 290 Government Purchase Card accounts. She provided leadership and guidance to
a network of over 60 military and civilian... Show more content on Helpwriting.net ...
She assisted the principle advisor to the Procurement Manager on all international contract procurement packages and delivery requirements. Erica
provided leadership by volunteering to work on international procurements to ensure anomalies were resolved in a timely manner. Within Erica's first
year, she created lasting networks with project managers and contractors, both domestically and internationally, and was placed on Integrated Product

Interview Report : An Accountant Working For Deloitte Company
Yuqing Lei
Prof. Lynda Thoman
MGMT 201
November 5, 2016
Interview report
Today, I interviewed Mr. Adam, an accountant working for Deloitte Company. He is one of my father's friends. He had been employed for Deloitte
Company for many years. So I believe he is the expertise to be interviewed.
First of all, his company mainly provides professional services including accounting, tax, audit, advisory and consulting. He works with the security of
information systems by advising companies how to ensure their systems stay safe and the right people have access. When it comes to the question how
does he use accounting information in his job, Mr. Adam says that "In order to bill our clients, we have to keep close track of many different metrics
that directly affect our revenue. Additionally, we provide audit support after an audit has taken place to implement controls to make sure companies are
compliant with the audit and governmental or industry regulations."
Second, I ask him some questions about activity–based costing (ABC). To begin with, I am curious about how does his company cost its products
/services, how is overhead assigned and whether or not his company uses activity–based costing (ABC). He says they use a variety of costing methods.
Generally, direct costing is used when charging projects; however, they also provide some managed services on a reoccurring revenue charge. They
allocate overhead depending on the cost center (i.e. Advisory vs. Audit vs. Consulting) and the

Construction Management
CONSTRUCTION MANAGEMENT
Chapter 4
Construction contracts. Author: PaweЕ‚ Kotas, Polska
Construction as a service activity having many dimensions. Starting from ideas, thru find funds, investor, design construction, find contractor, phase of
construction, meet the requirements which investment needs to be in use and complete facility.
All these aspects are associated with large amounts of documents, permits.
In this essay will be described various types of contracts between the investor and the contractor.
Contract is an agreement between two or more parties to do something for a consideration establishes the basis for a contract. Because of business
aspects of contracts problems can be solved in the court.
Then the most ... Show more content on Helpwriting.net ...
Depending on the confidence of the contractor on its own estimates and its propensity on risk, a contractor can slightly raise the unit prices on the
underestimated tasks while lowering the unit prices on other tasks. If the contractor is correct in its assessment, it can increase its profit substantially
since the payment is made on the actual quantities of tasks; and if the reverse is true, it can lose on this basis.
Negotiated contracts
An owner can enter into contract with a constructor by negotiating the price and method of reimbursement. This type can during the contract enter into
fixed–price or unit –price contract. * Cost Plus Fixed Percentage Contract
For certain types of construction involving new technology or extremely pressing needs, the owner is sometimes forced to assume all risks of cost
overruns. The contractor will receive the actual direct job cost plus a fixed percentage, and have little incentive to reduce job cost. Furthermore, if
there are pressing needs to complete the project, overtime payments to workers are common and will further increase the job cost. * Cost Plus Fixed
Fee/ Variable Percentage Contract
Under this type of contract, the contractor will receive the actual direct job cost plus a fixed fee, and will have some incentive to complete the job
quickly since its fee is fixed regardless

Federal Contracting
Federal Contracting Activities and Contract Types
Sandra Greene
BUS 315
Dr. Lena Maslennikova
10 December, 2012
Federal Contracting Activities and Contract Types
This paper will discuss Booz Allen Hamilton. It will briefly discuss its history and then go into who they are today. Finally, it will cover a major
contract that they have recently acquired along with a few particulars of that contract.
Edwin G. Booz started his first engineering company after a stint in the navy in 1914. After many changes the firm officially became a management
consulting firm called Booz Allen Hamilton in 1942. Today it is one of the most prestigious technology consulting firms in the world ... Show more
Provide staff and users with assistance solving computer related problems, such as malfunctions and program problems. Test, maintain, and monitor
computer programs and systems, including coordinating the installation of computer programs and systems. Consult with management to ensure
agreement on system principles. Expand or modify system to serve new purposes or improve work flow (Business Dictionary, 2012).
A lot of the work will consist of analyzing, testing, and modifying. This is why a CPAF contract was used instead of a fixed–cost contract because it is
difficult to predict actual costs. A company would put themselves in a bad situation to have a fixed–cost contract if the costs where more than the
contracted amount (Murphy, 2009, pp. 24–7). As with any project, there will always be costs or expenses associated. The type of expenses will always
depend on the type of work or project. Some expenses that will be associated with this contract are direct and indirect costs. Direct costs are costs
that can be totally identified with or traced back to a particular product or service. Those costs are materials, labor, or expenses related to producing
the product or service. Indirect costs are not easily traced back to a particular product or service, or can be involved with other products or services in

the same time period. Booz Allen provides services so they will never have material costs associated with any project

Global Paper
Bayani Brew
(Iced Tea)
(Exported to Australia)
Submitted by:
Kimverly A Leonardo.
Submitted to:
Professor Bibiana Dela Cruz
Table of Contents
Page
Global Marketing Plan
BAYANI BREW Iced Tea
Introduction .................................................................................... 3
Situational Analysis ........................................................................ 5
Marketing Plan Marketing Objectives ..................................................................... 6 Target Market .............................................................................. 7
Marketing Mix Product Description ........................................................................ 7 Pricing .......................................................................................... 8
Promotion .................................................................................... 9 Distribution ................................................................................. 10 Packaging
................................................................................. 10
Mode of Transport ................................................................................. 11 ... Show more content on Helpwriting.net ...
The next Bayani Brew drink may yet be another native, healthy, and surely yummy concoction of the nanays we fondly call our Titas. There is just so
much natural goodness of our people and our land left untapped!

Hence, the name Bayani Brew does not just stand for our love of country or "bayan," but also for honouring these unsung heroines (our personal
"bayanis" who not just concocted these delightful drinks); and more sentimentally, for the "bayanihan" effort of local talent, farmers, and social
entrepreneurs to bring this once crazy idea to the market. Bayani Brew wants to be remembered not only for its refreshing beverages, but as part of
brewing a social innovation movement comprising a new breed of Pinoys who are not just learning to love living a healthy and natural lifestyle, but
more importantly, who are bat–sh*t crazy in love with our country.
II. Situational Analysis
Major environmental issues in Australia include whaling, logging of old growth forest, irrigation and its impact on the Murray River, Darling River and
Macquarie Marshes, acid sulfate soils, soil salinity, land clearing, soil erosion, uranium mining and nuclear waste, creation of marine reserves, air
quality in major cities and around polluting industries and infrastructure,

Construction Contract Essay
Assignment 1. For the following types of undertakings, which contract modes are most appropriate? Be prepared to explain the rationale behind your
choice. We want to order a pencil manufacturer to produce 20,000 pencils for us When ordering a set number of items from a manufacturer who is in
the business of making that product and will not have to engage in any research, development, or real custom work, the standard contract would be a
fixed–price contract . This scenario describes a simple bulk order of an item. Therefore, in this situation, the most appropriate contract mode is the
fixed price contract. This allows the company to receive a number of bids for the 20,000 pencil contract and compare the costs in those bids. It also
does not put the seller at tremendous risk because they do not face tremendous variation in the costs of their supplies for manufacturers. Also, as the
purchaser fixed price contracts are good for purchasers, because the sellers bear most of the risk of the contract. We want to have a 300 meter bridge
built to span a local river When engaging in a construction contract, time is of the essence and running over time projections can cause literally
millions of dollars in additional non–contract costs. Therefore, construction contracts that can provide incentives to complete the project on time or
early are beneficial because they effectively penalized contractors who fail to deliver on–time performance. With a CPIF contract, the

PROJ 410 Midterm Exam 1
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1. (TCO 2) An offshoot of business process outsourcing which requires a greater skill or knowledge of the industry or inner workings of a firm is:
2. (TCO 3) How are the procurement responsibilities divided between the project manager and contract administrator?
3. (TCO 4) What is the difference between the Cost–Plus–Percentage–Fee (CPF) contract structure and the Cost–Plus–Fixed–Fee (CPFF) contract
structure?
4. (TCO 5) To assess the impact of a contract on both the buyer and seller, an analysis of exposure can be completed. Categories analyzed in this
exposure analysis include all of the following except:
5. (TCO 6) Factors that may affect the BPO agreement structure include all of the ... Show more content on Helpwriting.net ...
Who would be important to involve and why?
1. (TCO 2) A firm should concentrate on its _____ processes while outsourcing its _____ processes.
2. (TCO 3) What activities is the contract administrator responsible for in a contract situation? What about the project manager?
3. (TCO 4) What is the difference between the Cost–Plus–Fixed Fee (CPFF) and the Cost–Plus–Incentive Fee (CPIF) contract structures?
4. (TCO 5) To assess the impact of a contract on both the buyer and seller, an analysis of exposure can be completed. Categories analyzed in this
exposure analysis include all of the following except: ______.
5. (TCO 6) The Term, Contracting Party, Integration, Retained Assets, and Performance Standards are all: _______.
6. (TCO 6) List three commonly used evaluation criteria listed in an RFP and explain why a buyer would want this information before selecting a seller.
7. (TCO 8) What is an independent estimate and why should a buyer produce an independent estimate before selecting a seller?
8. (TCO 7) For most customers, requesting multiple bids is the preferred approach because it: _______.
9. (TCO 7) Describe the common sections of the RFP.
10. (TCO 2) Part 1: List and define the six phases of the project procurement management process. Part 2: How could you organize a simple project
such as renovating a bathroom into the six steps in the project

Outsourcing Service From A Supplier
Outsourcing is simply obtaining a product or a service from a supplier. Outsourcing services can supplement an existing internal source, replace an
existing internal source, or consist of a new product or service a company has never provided before.
In the past, it was commonplace for companies to try to do it all. Manufacturing companies would design, engineer, and build the end product while
providing Information Technology support... regardless of the complexity of the end product and its components. As time went on, it became obvious
that a company cannot do it all. It became more and more routine for organizations to outsource complex portions of their work.
Smaller companies found it useful to outsource their payroll processing. This soon grew into the recognition that if it is better to outsource payroll,
why not consider outsourcing the entire HR function? Industries began to grow to support "vertical" business services such as HR and accounting. The
companies that are chosen to provide the service also accept a part of the risk.
In today's world, the most effective method of doing business is for a company to focus on their core competencies – what they do best. The role of
outsourcing is critical to a project's success. It can expand the customer base and allow organizations to focus more on relationships. As outsourcing
grows, it becomes more and more important to balance advantages and disadvantages, understand the risks, and act to mitigate those risks.
A

Summary Of Joe Valentine And Travis Vanderwhite With Lithko
Joe Valentine and Travis Vanderwhite with Lithko presented on the topic of vertical concrete construction. They explained to us that vertical
concrete construction is a wide range of different versions of placing concrete. Lithko is a concrete contactor that is aiming to be in every major
city in the United States. They currently have ____ number of offices with the closest being in Kansas City. Joe and Travis explained to us that
Lithko doesn't own any of their own forms. They rent every form they use whether it is gang forms or steel ply systems. According to what we were
told it is just about the same cost for them to rent all the forms and also they said they are guaranteed quality equipment for every job. Lithko uses
three major forming systems and these systems are gang forms, steel ply, and ply wood forms.... Show more content on Helpwriting.net ...
These forms can withstand up to 2000 lbs/sf of pouring pressure and have the fastest pour rate. Gang forms only require tie about every 4 to 5 feet
on center. This system does require a sizeable lay down area to construct the gang form. Once a certain gang is created it is lifted into place and
usually there is more gangs attached to another. Once the wall is poured and set the form can be striped and if the gang section is not to odd of a
section it can be placed exactly where the next pour will be located. This helps to speed up the process setting walls and almost takes no time at all to
set up for a pour. Gang forms come in heavy duty and medium duty according to

Financial Accounting Case Study
LH Fall 2013 RSM 221 Individual Assignment 1 Suggested Solution Question 1: Problem Exhibit 1 Purpose: To determine the percentage of
completion for the selected contract in order to determine the company 's revenue and gross profit (loss) for 2014, 2015 and 2016.
Percentage–of–Completion (Cost–to–Cost Basis) Contract price: (A) Costs: Opening balance of costs Costs incurred during the year Costs to date
(B) Estimated costs to complete Estimated total costs (C) Estimated total gross profit (loss) Percent complete (B/C) 2014 $9,500,000 0 3,910,000
Note 1 3,910,000 5,660,000 9,570,000 (70,000) 40.86% 2015 $9,500,000 3,910,000 5,050,100 Note 3 8,960,100 625,000 9,585,100 (85,100) 93.48%
Revenue... Show more content on Helpwriting.net ...
п‚· Furthermore, it assumed that each phase of the contract is equally important to the customer, this contract does not involve a significant act that
is more significant than all the others. Alternative #1: Stage of Completion п‚· IFRS requires revenue and cost from construction contracts to be
recognized by reference to the stage of completion of the contract activity at the end of the reporting period, provided the outcome of the contract
can be estimated reliably. п‚· In order for the outcome of a construction contract to be estimated reliably, the following four conditions must be met:
1. The total contract revenue can be measured reliably п‚· All contracts are for fixed amounts and thus can be measured reliably by using the final
contract signed by the customer. 2. It is probable that the economic benefits associated with the contract will flow to the entity п‚· For the sample of
contracts reviewed, all progress billings were received on time thus suggesting that there are no major collection issues with AMI's clients 3. Both the
contract costs to complete and the stage of contract completion at the end of the reporting period can be measured reliably п‚· Since AMI's systems
to track progress have been significantly improved for the past five years, there is no evidence to suggest that AMI is not able to properly track costs
incurred or properly estimate the

Atlantic Computer
Situation: * Atlantic Computer is a manufacturer of servers and high–tech products * Two market segments: High performance and Basic Servers *
The Tronn was developed mainly for the emerging US market opportunity for basic web servers * The Performance Enhancing Server Accelerator
(PESA) allows Tronn to perform four times faster than its usual speed for standard procedures * Atlantic has 20% market share in High Performance
Servers with Radia * Two Tronn servers equivalent to four Zink servers
Decision to be made: * The management team needs to decide the pricing strategy for the Atlantic Bundle: Tronn&PESA
Alternatives and Pros&Cons: Alternatives:| Pros:| Cons:| Result:| Status quo pricing ... Show more content on Helpwriting.net ...
Although Competition Pricing provides the highest profit per unit, the customers will still question about the reliability of both Tronn and PESA and
the true value they are receiving from the bundle. By demonstrating the value–in–use pricing strategy, the customer will then be fully aware of the true
value brought by Atlantic Bundle in monetary terms.
Target market: * The target customers will be those mid to small size companies that do a lot of web services. When the Tronn is acting web hosting
with PESA, it truly demonstrates four times of speed as a basic server. In addition, when there's file sharing involved, Tronn is still capable of doing
two times of speed as a basic server. As a result, companies that involve with primarily web hosting activities will receive the most benefit from the
Atlantic Bundle.
Possible Customer response: * Customers will surely question about the reliability and functionality of the Atlantic Bundle. Atlantic computer will then
need to demonstrate the reasons deviating the software from the tradition cost–free to further show the value of the bundle. In addition, Atlantic
Computer will need to emphasize on the saving the bundle will bring, and the excellent after–service they will provide.
Possible Competitor response: * Although the introduce of the Atlantic Bundle will not have

PROJ410 Mid-Term Essay
These are the automatically computed results of your exam. Grades for essay questions, and comments from your instructor, are in the "Details"
section below. Date Taken: 9/28/2014 Time Spent: 2 h , 07 min , 34 secs Points Received: 200 / 200 (100%) Question Type: # Of Questions: # Correct:
Multiple Choice 4 4 Short 5 N/A Essay 4 N/A Grade Details– All Questions Page: 1 2 Question 1. Question : (TCO 2) The term BPO refers to:
_______. Student Answer: creating a new operation within an existing company moving bits and pieces of a business unit to another area within an
organization shutting down a business unit and finding ways to "do more with less" outsourcing one or more specific business processes,... Show more
What are some of the other evaluation criteria that a buyer may use to help select a seller? Student Answer: Some of the evaluation criteria the buyer
can use includes: Understanding scope of work Overall cost or financial proposal Management approach Reputation Production capacity Business size
and type Flexibility Experience Value–added services References Timeframe Industry developments and benchmarks Human resources Instructor
Explanation: Understand the scope of workOverall cost or financial proposalTechnical capabilityManagement approachReputationProduction
capacityBusiness size and typeFlexibilityExperienceValue–added servicesReferencesTimeframeIndustry developments and benchmarksHuman
resources Points Received: 12 of 12 Comments: Question 8. Question : (TCO 8) What is an independent estimate and why should a buyer produce an
independent estimate before selecting a seller? Student Answer: The independent estimate is produced by the buyer and is its assumption of the
"should–be" costs. Having an independent estimate allows the buyer to check the supplier's price. A significant difference between a seller's price and
the independent cost estimate points to an indication that either the seller did not interpret the scope of the work correctly of the buyer did not translate
its expectations correctly. Instructor Explanation: An independent estimate is produced by the buyer and

Why Managers Involves Pricing Their Products And Services
One of the most challenging and essential task of Managers involves pricing their products and services. Pricing mistakes can diminish and or destroy
an otherwise promising business. High prices can drive customers away and hurt an organization. Simultaneously, prices that are too low can indeed,
robs the ability to earn a profits giving the impression that the products are inferior.
Determining an appropriate pricing structure is the key to the success and long term benefit for the business/organization. The powerful forces for
Pricing are Image, Competition and Value. Factors that help in pricing are :– Recognizing the demand and supply, communicate with customers,
Include a surcharge, rather than increase a price, may help to ... Show more content on Helpwriting.net ...
The costs of the product are converted to per–unit, then a predetermined percentage is added to provide a profit margin making it the Cost–Plus Pricing.
The cost–plus approach relies on arbitrary costs and arbitrary markups. Many companies use this strategy to maximize their return rates.
According to Federal News Radio, the U.S. government agencies spent $135 billion in 2008 on cost–plus type contracts states Lisa Magloff, Demand
Media.
Cost–plus pricing commonly is used in processing credit card transactions. This involves three banks. A pricing system called interchange plus adds a
merchant service provider 's fee to the rate charged by the credit card provider for each transaction. The merchant banks regulates the transaction of the
goods sold to that of the appropriate payment there of. This price model is good for merchants because it tells them exactly how much each credit card
transaction will cost them to process.
2–Potential problems are: This method ignores the concept of price elasticity of demand. Less incentive to cut or control costs, needs an estimate and
apportionment of business overheads. If applied strictly, a full cost plus pricing method may leave a business in a vicious circle. When setting price,
marketers must take into consideration several factors which are the result of company decisions and actions. To a large extent these factors are
controlled by the company and, if necessary, can be altered. However, while the

Ias 11
IAS 11 International Accounting Standard 11 Construction Contracts In April 2001 the International Accounting Standards Board (IASB) adopted
IAS 11 Construction Contracts, which had originally been issued by the International Accounting Standards Committee in December 1993. IAS 11
Construction Contracts replaced parts of IAS 11 Accounting for Construction Contracts (issued in March 1979). Other IFRSs have made minor
consequential amendments to IAS 11. They include IAS 23 Borrowing Costs (as revised in March 2007) and IAS 1 Presentation of Financial
Statements (as revised in September 2007). © IFRS Foundation A613 IAS 11 CONTENTS from paragraph INTERNATIONAL ACCOUNTING
STANDARD 11 CONSTRUCTION CONTRACTS OBJECTIVE... Show more content on Helpwriting.net ...
1 IASC's Framework for the Preparation and Presentation of Financial Statements was adopted by the IASB in 2001. In September 2010 the IASB
replaced the Framework with the Conceptual Framework for Financial Reporting. A616 © IFRS Foundation IAS 11 5 For the purposes of this
Standard, construction contracts include: (a) contracts for the rendering of services which are directly related to the construction of the asset, for
example, those for the services of project managers and architects; and contracts for the destruction or restoration of assets, and the restoration of the
environment following the demolition of assets. (b) 6 Construction contracts are formulated in a number of ways which, for the purposes of this
Standard, are classified as fixed price contracts and cost plus contracts. Some construction contracts may contain characteristics of both a fixed price
contract and a cost plus contract, for example in the case of a cost plus contract with an agreed maximum price. In such circumstances, a contractor
needs to consider all the conditions in paragraphs 23 and 24 in order to determine when to recognise contract revenue and expenses. Combining and
segmenting construction contracts 7 The requirements of this Standard are usually applied separately to each construction

Why Manufacture Or Outsource? Essay
Why Manufacture or Outsource The make–or–buy analysis is the decision to choose between manufacturing a product in–house or by purchasing it
from an external supplier (PMBOK, 2013). This is also referred to as outsourcing and is a decision that must be made based on several factors. Per the
Project Management Body of Knowledge, expenses for manufacturing must include additional costs, such as labor to manufacture the items and
disposal costs of existing equipment. Conversely, the decision to outsource a product or service, must include additional shipping costs, import fees and
taxes, not to mention the cost of storing and inventory management. Furthermore, there are also other decision–making factors, such as the need for
control over quality, proprietary technology, time constraints, and lack of expertise or limited capabilities (PMBOK, 2013). Pros & Cons of
Manufacturing versus Outsourcing To further enhance on the topic, make or buy decisions can be advantageous to the organization due to ability to
choose more than one option as it will ultimately effect several aspects. Some of the advantages for choosing the making route are increase control
over production and quality, control of lead time, and control of technological information. However, there are disadvantages to it as well, for instance,
the limited capabilities to manufacture or time constraints that will not be cost effective for research and development of a specialized product. The
case is similar for buying

Debra Underwood Inc. Case
The Debra Underwood Inc. (DUI) is a small company which specializing in small coating products for ceramic tile and marble floors. DUI intends
to supply coasting products and service outline in the Request for Proposal (RFP) #123456789, at a fair price and prompt convenient services,
DUI Inc. has the required product and expertise for the Navy contract. The company is ready to consider the factors needed for the proposal based
on the RFP above. The local competitor has also received this RFP for similar products and services; they also intend to submit a proposal, which
makes the winning more competitive. The company will review the competitions past performance and check some references. The best contractor or
company who submits the best proposal and can deliver the product and services at a profit to their company should be awarded the contract. DUI has
an... Show more content on Helpwriting.net ...
Another benefit of having a multi–payer contract is the statutory requirement covering 2–5 fiscal years (10 USC 2306b). Some of the advantage of
using the multi–year contract for the company includes higher profit potential, little control by the government, less financial audit and defined
specification. There are some disadvantages including risk assumption relates to financial and technical assumptions. The government would have the
advantages of risk shifts to contractor, simplifies budget process, no responsibility of management and defined work specification. One of the
disadvantage for the government is the prices always contain some contingencies. DUI would use this fixed price proposal because it would mean the
contract expands more than one year and funded with annual appropriation that would be a profit and growth for the

Pricing Schemes Of The Price Of Consumer Surplus Essay
Uniform pricing does not generate the maximum possible total revenue because it generates consumer surplus (Thomas & Maurice, 2013). Consumer
surplus is the area under demand and above market price over the range of output sold in the market (Thomas & Maurice, 2013). Managers devise
pricing schemes to capture consumer surplus and turn it into profit (Thomas & Maurice, 2013). A firm charges different prices for the same product to
increase profits which is called price discrimination (Thomas & Maurice, 2013). There are different groups of buyers with various elasticities of
demand and are therefore willing to pay different prices. The definition of price discrimination requires the exact same product be sold at different
prices and the cost must be the same for each market (Thomas & Maurice, 2013). Under first–degree price discrimination, every unit is sold for the
maximum price each consumer is willing to pay, which theoretically allows the firm to capture the full amount of consumer surplus. However, this
requires a tremendous amount of knowledge and information about each consumer and their willingness to pay for a product (Thomas & Maurice,
2013). This can generate more profit than uniform pricing because of the 'haggle factor'. Sellers who negotiate prices for each individual customer are
practicing first–degree price discrimination. If the seller knows their customer has more financial resources, they will try to get a higher price.
Second–degree price discrimination

What Contracts Work Best For What Type Of A Contract Case...
What contracts work best for what type of projects?
Project Managers, inside the quest for successful project management and to create a cost powerful quality support of their clients, could procure
material and administrations all through venture execution; or their administrations could likewise be gained by others, each inside or outside the
association, to deliver benefit in their claim to fame zones. For every situation, the objective is accomplished by an agreement, composed or oral, which
is a lawfully restricting device that characterizes the connection, span, nature and degree of administration, explanation of work, thought and terms and
conditions. The technique by that the material/administrations gained is acquisition or ... Show more content on Helpwriting.net ...
This is the reason cost reimbursable contracts are once in a while utilized. The cost reimbursable contracts additionally separated into subcategories
like Cost plus Fee (CPF), Cost plus Fixed Fee (CPFF), Cost plus Incentive Fee (CPIF) and Cost plus Award Fee (CPAF). There is a third hybrid sort
ordinarily being used called Unit Price contract or time and materials contract. Fundamentally, in unit value get, the vender will profit for consistently
he dealt with the task like outsourcing in settled value gets, the merchant and the purchaser makes concurrence on a settled cost for the venture. For the
most part, the purchaser is in generally safe classification on the grounds that the cost or cost is as of now settled and the merchant has consented to the
terms and conditions. Essentially in unit value get, the vender will profit for consistently he dealt with the task like freelancing and outsourcing.
Toward the end, project manager needs to choose what sort of agreement ought to be chosen on the premise of undertaking he or she is taking care of
and furthermore ought to know about the legitimate parts of the task. The project manager ought to have the capacity to go out on a limb that includes
cost, asset portion and SLAs and ought to be in charge of the non–deviation of the specified viewpoints above. The manager needs to settle on the
merchant choice by confirming the foundation of the customer as

Advantages And Disadvantages Of Fixed Cost Contracts
The Fixed–Price Contracts is a type of the contract regularly used by the Federal Government for the procurement of various supplies. This type of
contract provides prices for a firm, which is often adjustable depending on the issues specified under the contract. According to Engelbeck (2002) the
Fixed Price Contract provides for various acquisitions as described below:
a)Price determination: In this case, the prospective firm provides a fixed price at the initial stage for determination or adjustment, either upward or
downward. The price is also set at a certain ceiling for determination at the end of the contract period.
b)Materials reimbursement. This is a fixed contract used for the purchase and repairs of services and is pegged with ... Show more content on
Helpwriting.net ...
How can Warranty and Contract Management benefit the Government Customer?
The management of warranty and contracts is a key aspect of procurement both for the government and the contractors. While there are numerous
advantages of maintaining an effective contract system, some of the key benefits include; tracking, contract vendors and their contact details, and
knowing the assets covered under the contracts. It also assists in maintaining the profiles of all the client contracts under a single space.
The primary benefit of warranty and contract management is the reduction of administrative overhead costs. Hoskisson & Hitt (2008) explain that, with
a centralized log of assets and contracts, the misuse of resources is heavily minimized, thus giving the management an opportunity to allocate resources
where they are needed. Further, this translates into immediate savings of costs for the government customer owing to the decommissioning of outdated
machines off the contracts and

Disadvantages Of Cost Reinbursement Contract
INTRODUCTION: In a cost–reinbursement contract, the contractor was paid by the employer limited to the source and a small amount in addition for
the contractor to gain profit. Furthermore, cost reimbursement contracts has massive divergent with a fixed–price contract, that the contractor get is
paid with the discussed expenses. Moreover, there are several contract type that federal agencies can choose. Firstly, is fixed–price, secondly is
time–and–materials, and lastly is cost–reimbursement. Each contract has its own specialty and risk to the employer. Different types of contract can be
used to surge the motivational level of the contractor and to surge the ultimate result of the project that are in progress by the contractor. Besides, the
contracts are suitable when inconstancy about the contract production do not permit price to be estimated with enough precision to use any type of
fixed–price contract.... Show more content on Helpwriting.net ...
therefore, the administration conducts relatively massive supervision on this type of contract to make sure that effective ways and efficient price
management are used. There are two big reasons for the disability to estimate the price precisely. Firstly, is the lack of understanding regarding the
contract demand. Then, is the not enough experience in work performing, such as the evolution of an armor structure where production ability and
detailing are sufficiently unstable to warrant contracting on a fixed–price basis. When these order occur, the use of a cost–reimbursement contract may
be suitable. Conversely, when variability have been declined to a commandable phase, a fixed–price contract normally is used. Last but not least, there
are three basic category of cost–reimbursement contracts. Firstly is the price addition fixed fee, price addition award fee, and price addition incentive

Atlantic Computer Is A Leading Developer Company Of High...
Introduction
Atlantic Computer is a leading developer company of High Tech Servers; it has recently started manufacturing Basic servers and now company is
looking to decide the pricing of the servers based on the four models given in the case i.e status–Quo pricing, competition based pricing, cost–plus
pricing and then there is value–in pricing.
Situation analysis
For this situation, Atlantic Computer is a producer of servers and technology products.
Two business sections exist in the server business: High Performance Servers and Basic Servers. Atlantic Computers has held a 20% offer of the
High Performance market with their Radia servers being their head item. Then again, the business sector for Basic servers is developing and this
has brought about Atlantic Computers to create and present a Basic Server called the Tronn and software called the "Performance Enhancing
Server Accelerator" (PESA). The Tronn was created basically for the developing US business market open door for basic servers. The PESA would
permit the Tronn to perform up to four times quicker than its standard speed and make regularly asked for data more available. Along these lines,
packaging the Tronn and PESA appeared well and good. Atlantic is not worried that the Tronn will be viewed as a substitute for its High Performance
servers. They are looking to decide a price of the servers to introduce in the market before the trade show.
SWOT analysis
Strengths
Speed of new server is 4 times

Proj598-Week-3-Quiz1 Essay
1.| Question :| (TCO B) All of the below would be considered good selection criteria for a buyer to use to select a seller, except| | | Student Answer:| |
proprietary rights of buyer, overall cost, and warrantee offered by seller.| | | | past work done by seller, intellectual property rights, and risk associated
with a given seller.| | | | technical capability of seller, understanding of work by seller, and business type of seller.| | | | managerial approach of seller,
capacity of seller to do the work, and ability of seller to make a reasonable make–or–buy decision.| | Instructor Explanation:| PMBOKВ® Guide,
Chapter 12| | | | Points Received:| 10 of 10| | Comments:| | | |... Show more content on Helpwriting.net ...
The process involves monitoring performance, managing interfaces if there are multiple providers, making changes and corrections, and processing
interim payments (often called progress payments which are based on the seller's progress in completing the work). In some cases, contract
administration involves managing the early termination of a contract (for cause, for convenience or for default). Close Procurement The process of
completing each project procurement. It supports the CLOSE PROJECT or PHASE Process. Contract closure supports the close project or phase. It
involves product verification (was the work completed correctly?) and administrative closeout (updating and archiving of records). Early termination is
a special case of contract closure and can result from a mutual decision, from default by one of the parties, or for convenience of the buyer. The rights of
the parties should be defined in a terminations clause in the contract. The buyer provides formal, written notice that the contract has been completed.| |
Instructor Explanation:| See the PMBOKВ® Guide, Chapter 12.Plan procurements
Conduct procurements
Control procurements
Closeout procurements Students must list and explain what occurs in each process.| | | | Points Received:| 30 of 30| | Comments:| | | |
Question 3.| Question :| (TCO C) Compare and contrast a firm fixed–price contract with a cost–plus contract. When would each be appropriate for

The New Owner Of This 3 Bedrooms Flat With A Front View On...
To confirm you are the new owner of this 3 bedrooms flat with a front view on Bondi beach, you have signed a contract with the seller, generally
through an agency and a solicitor. A contract is a written or spoken agreement between two or more parties for the doing or not doing something
specified. An agreement can be enforceable by law. Types of contract On the business field, a contract is usually between someone who provide a
service to a hirer for money. You are promising to do a job for the hirer and the hirer is promising to pay you for it. (government) There is different
type of contracts with two major groups: fixed–price and cost–plus contract. When you can forecast how much a service or a good are going to cost
you, you would... Show more content on Helpwriting.net ...
(Fixed Price with Economic Price Adjustment Contract, 2016) – Fixed price incentive with successive targets: it is an incentive contract that operates
in the same way as an FPIF contract except that one or more revisions in the target cost and target profit may be made during performance. (Fixed
Price Incentive (Successive Targets) FPI(S), n.d.)– Fixed price for services, material, and labor at cost: "Direct materials" means those materials that
enter directly into the end product, or that are used or consumed directly in connection with the furnishing of the end product or service. (Types of
Government Contracts, 2012) However, whether it is difficult or impossible to evaluate the cost of a service or item, contractors will usually agree to
a cost–reimbursement contract, in which the stakeholders assume some level of risk for the final costs. (government) – Cost–plus percentage fee
(CPPF): under cost–plus–fee contract, a contractor is paid for all allowable incurred costs plus a fee. The fee can be a fixed amount or a percentage of
the costs invoiced. (Kurt Rossetti, 2008) This contract is less risky for a contractor. – Cost–plus fixed fee (CPFF): that contract provides a payment of
approved costs plus a fixed fee. (Types of Government Contracts, 2012). – Cost–plus

Construction Contracts Essay
Chapter 4 – Construction Contracts 1. Name and briefly describe each of the two basic types of competitively bid construction contracts. Which type
would be most likely used for building the piers to support a large suspension bridge. Why? Two basic types of competitively bid construction contracts
are lump–sum and the unit–price contract. The lump–sum contract is when the contractor agrees to complete all work for a pre–determined price
including profit and the contract. The unit–price contract is when the contractor quotes work on units separately instead of entire project. Price is
based on units of work performed, and cost varies depending on the quantities of units. Building the piers to support a large suspension bridge will...
Show more content on Helpwriting.net ...
4. Name two types of negotiated contracts and describe the method of payment and incentive concept. Cost + percent of cost is the method of
payment which is related to the cost of the job, the larger the cost of the job the higher the amount of fee that is to be paid by the owner. There is a
little incentive to be efficient and economical in the construction but is subjected to abuse. Cost + fixed fee is paid regardless of the variation of the
reimbursable cost factor. This method gives contractors an incentive to get the job done as quickly as possible in order to recover his fee over the
shortest time frame. 5. What is meant by unbalancing bid? What type of contract is implied? Give an example of how a bid is unbalanced. A bid is
unbalanced when some contractors use this method to profit greatly on a project. Contractors do this by changing unit prices of various bid items to the
point where the price does not reflect the true cost of those items. The unit–price contract is implied to an unbalancing bid. An example of how a bid
could be unbalanced occurs when a contractor uses the method of unstable bidding by overbidding in the beginning of the contract in order to reduce
his finances and then will underbid at the end of the project. 6. Why is cost plus a percentage of cost type of contract not used to a great extent? A
cost plus, is a fixed–price contract where the contractor paid for all the allowed expenses to certain limit

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