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EXPLANATION:
A turnkey or lump-sum contract is one where all responsibility for good results is borne by the project organisation. Turnkey contracts work best when both parties understand the contract and initial cost estimates are fair. When project items are missing or problems occur, all additional expenses are left to the contractor to carry the bag. A cost-plus agreement is one where the price for the contractor is set in advance, and all expenses plus the charge are charged by the requesting party. In this system, the burden is transferred to the requesting party, because there is no motivation for the contractor to hold the line on costs.
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QUESTION 10 You have decided to install a naturalistic outdoor pool in your backyard, replete with...