Question: INDEPENDENT GOVERNMENT ESTIMATE (IGE) PRACTICAL EXERCISE (5513) TASK: Develop an Independent Government Estimate (IGE). OBJECTIVE: Evaluate the student's knowledge of how to develop an IGE.

INDEPENDENT GOVERNMENT ESTIMATE (IGE) PRACTICAL EXERCISE (5513) TASK: Develop an Independent Government Estimate (IGE). OBJECTIVE: Evaluate the student's knowledge of how to develop an IGE. Identify the elements of work and cost involved in a PWS. Apply the appropriate IGE factors in addition to the material and labor cost of an estimate. Calculate the expected cost a contractor would propose for performing the work in the PWS. SITUATION: You, as the requiring activity, have just arrived at the deployed site and have been instructed by the commander to provide portable latrines for the troops. You require that a vendor supply all material and labor to provide 300 serviceable portable latrines. They must clean and stock them twice daily, and repair/replace them as necessary for 120 days (365 days in one year). You have conducted market research in this area and have found that a portable latrine costs approximately $400 new and has a service life of two years. At the end of two years the latrines are expected to have no resale value. Therefore, for best value you decide to use the purchase amount to determine a pro-rated rental cost. Industry norms generally show that unit maintenance

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!