Using what we learned in class for CPIF and given the data below, what is the buyer payout to the seller?

Target Cost $$1,000$K

Target Fee $($Sellers Profit$)$ $$100$K

Target Price $$1,100$K

Ceiling Price $$1,200$K $($The maximum pay$-$out to the seller$)$

Share Ratio $85/15($buyer absorbs $85\%$ of the risk and the seller absorbs $15\%$ of the risk$)$

Actual Cost $$800$K

With the Actual Cost of $$800$K the Savings $=$ $ $1,000$K $-$ $ $800$K $=$ $$200$K

Seller Gets $$800$K $+$ $$100$K $+$ $$30$K $=$ $$930$K $($Actual cost $+$ Fee $+(15\%*$ Savings$))$