Question: please explain your process Fixed Price Incentive Fee Calculation. In this fixed price incentive fee contract, the target cost is estimated at $9,000,000 and the

please explain your process

please explain your process Fixed Price Incentive Fee Calculation. In this fixed

Fixed Price Incentive Fee Calculation. In this fixed price incentive fee contract, the target cost is estimated at $9,000,000 and the target fee is $850,000. The project is over, and the buyer has that the costs were, in fact, $8,000,000. Because the seller's cost came in lower than the estimated costs, the seller shares in the savings: 70% to the buyer and 30% to the seller. The ceiling price is $12,500,000. Calculate the final fee and final price. O Fee $850,000 Price: $8,850,000 O Fee $850,000 Price: $9,850,000 O Fee $1,150,000 Price: $9,150,000 O Fee $1,550,000 Price: $9,550,000

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