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Procurement Manager Daisy works for a US Government agency, and acknowledges that there are some “unknowns”...

Procurement Manager Daisy works for a US Government agency, and acknowledges that there are some “unknowns” in her procurement statement of work and specifications. Which contract type does federal law prohibit Daisy from using for her procurement? A. Time and Materials. B. Cost-Plus-Percentage of Cost Fee C. Fixed-Price Incentive. D. Cost-Reimbursable.

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D. Cost-Reimbursable.

In this type of contract, the cost for which the contractor is entitled for reimbursement needs to be set out very clearly in the contract.

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