Question: QUESTION 40 A company has entered into a cost-plus-fixed-fee contract with a state government. Does this contract reduce the contractor's risk in this project? a.

QUESTION 40

  1. A company has entered into a cost-plus-fixed-fee contract with a state government. Does this contract reduce the contractor's risk in this project?

    a. Yes, because the company recover their costs and get the fixed fee.

    b. no, because the fee varies with actual costs

    c. no, because both parties can terminate the contract for convenience

    d. no, because the company can not recover all their costs and get the fixed fee as well.

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