Question

A Cost Plus Fixed Fee (CPFF) Contract has an estimated Cost of $55,000,000 and a Fixed...

A Cost Plus Fixed Fee (CPFF) Contract has an estimated Cost of $55,000,000 and a Fixed Fee of

$5,000,000. What is the final price and the ROS if :

a.) The actual cost is $48,000,000

b.) The actual cost is $75,000,000

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Answer #1
Price = Cost + Fixed Fee
1) Final Price if actual cost is $48,000,000
= $48,000,000 +50,00,000
$       5,30,00,000
1) Final Price if the actual cost is $75000000
=$75000000+5000000
$       8,00,00,000
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