CCC Contract Management & Procurement

Question 1

Which contract type places the greatest financial risk on the contractor?

Accepted Answer

Firm Fixed Price (FFP)

Answer

Cost Plus Fixed Fee (CPFF)

Answer

Time and Materials (T&M)

Answer

Cost Plus Incentive Fee (CPIF)

Question 2

A cost controller notices a vendor's invoice includes charges outside the agreed contract scope. This is best addressed through which process?

Accepted Answer

Contract change order review

Answer

Variance at completion analysis

Answer

Earned value baselining

Answer

Schedule compression

Question 3

What is the primary purpose of a procurement audit in cost control?

Accepted Answer

To verify that procurement processes were followed and costs are legitimate

Answer

To renegotiate vendor contracts after award

Answer

To establish baseline budgets for future projects

Answer

To eliminate underperforming vendors from the approved list

Question 4

Which procurement method is most appropriate when the project scope is not fully defined?

Accepted Answer

Request for Proposal (RFP)

Answer

Invitation for Bid (IFB)

Answer

Purchase Order (PO)

Answer

Blanket Order Agreement

Question 5

In contract cost management, 'should-cost' analysis is used to:

Accepted Answer

Estimate what a product or service reasonably ought to cost based on labor, materials, and overhead

Answer

Calculate the actual cost of work performed

Answer

Determine the earned value of completed deliverables

Answer

Forecast the final contract price at completion

Question 6

A contract includes a ceiling price and a target cost with shared savings above target. This describes which contract type?

Accepted Answer

Cost Plus Incentive Fee (CPIF)

Answer

Firm Fixed Price (FFP)

Answer

Cost Plus Fixed Fee (CPFF)

Answer

Time and Materials (T&M)

Question 7

When evaluating contract bids, a cost controller should use which document to verify that all bid submissions are comparable?

Accepted Answer

Basis of Estimate (BOE)

Answer

Contract Data Requirements List (CDRL)

Answer

Work Breakdown Structure (WBS)

Answer

Bill of Materials (BOM)