Question: Practice Question: 6 Your company has signed a fixed price incentive fee contract with a seller with the following details: Target Cost = 300,000 USD

Practice Question: 6
Your company has signed a fixed price incentive fee contract with a seller with the following
details:
Target Cost = 300,000 USD
Target Incentive Fee = 50,000 USD
Share Ratio = 70/30
Ceiling Price = 400,000 USD
Actual Cost = 320,000 USD
Calculate the actual price paid to the seller.

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