Question: Problem #1 A cost-plus-incentive-fee contract has the following characteristics: Sharing ratio: 80/20 Target cost: $100,000 Target fee: $12,000 Maximum fee: $14,000 Minimum fee: $9,000 How

Problem #1

A cost-plus-incentive-fee contract has the following characteristics:

Sharing ratio: 80/20

Target cost: $100,000

Target fee: $12,000

Maximum fee: $14,000

Minimum fee: $9,000

How much will the seller be reimbursed if the cost of performing the work is $95,000?

Problem #2

A cost-plus-incentive-fee contract has the following characteristics:

Sharing ratio: 80/20

Target cost: $100,000

Target fee: $12,000

Maximum fee: $14,000

Minimum fee: $9,000

How much will the seller be reimbursed if the cost of performing the work is $85,000

Problem #3

A cost-plus-incentive-fee contract has the following characteristics:

Sharing ratio: 80/20

Target cost: $100,000

Target fee: $12,000

Maximum fee: $14,000

Minimum fee: $9,000

How much will the seller be reimbursed if the cost of performing the work is $120,000

Problem #4

A fixed price incentive fee has the following characteristics:

Sharing ratio: 70/30

Target cost: $100,000

Target fee: $8,000

Price Ceiling: $110,000

How much will the seller be reimbursed if the cost of performing the work is $90,000.

Problem #5

A fixed price incentive fee has the following characteristics:

Sharing ratio: 70/30

Target cost: $100,000

Target fee: $8,000

Price Ceiling: $110,000

How much will the seller be reimbursed if the cost of performing the work is $102,000.

Problem #6

A fixed price incentive fee has the following characteristics:

Sharing ratio: 70/30

Target cost: $100,000

Target fee: $8,000

Price Ceiling: $110,000

How much will the seller be reimbursed if the cost of performing the work is $105,000.

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