The government and the contractor agree that the final cost on a CPIF contract is $1,100,000. Given the following: Target cost is $1,000,000; target fee is $70,000; minimum fee is $20,000; maximum fee is $130,000; overrun share ratio is 87.5/12.5; under target share ratio is 80/20. Calculate the final fee to which the contractor might be entitled. Calculate the final contract price.

Answer rating: 100% (QA)

To calculate the final fee we need to determine the fee based on the overrun share ratio and the und... View the full answer