CLC 056 Analyzing Contract Costs Exam (98% grade) 54/55 answered correct

CLC 056 Analyzing Contract Costs Exam (98% grade) 54/55 answered correct Identify strategies to mitigate cost risk Which of the following is the best strategy to mitigate cost risk?  Conduct adequate market research prior to entering negotiations Differentiate between the measures of central tendency and the methods for measuring dispersion When given a set of data that appears to contain outliers, which measure of central tendency is most appropriate to use?  Median Determine if an exception to the Truth-in-Negotiations Act applies Which of the following situations are considered exempt from the submission of certified cost or pricing data?  Prices are set by law or regulation Identify key terms involved during a contract negotiation What is the negotiation term that reflects each party emphasizing the long term effects and benefits as well as both parties defining their interests to be achieved in conjunction with the outcome?  Win-Win Identify factors that contribute to success in any negotiation Which of the following factors is critical to a successful negotiation?  Effectively prepare, plan, and communicate Calculate an objective using improvement curve analysis Given the improvement curve data, calculate the cost objective for unit #64. Labor hours for unit #32; 42,000 hours Labor ours for unit #1: 79,000 hours Rate of improvement: 20% improvement curve slope: 80% (question 6)  33,600 Identify cost analysis terms and techniques used when developing a prenegotiation position According to FAR 15.4, which of the following is one of the two most preferred price analysis techniques?  Comparison of proposed prices received in response to the solicitation Identify situations when an audit should be requested The purpose of an audit is to?  All of these are correct Determine the fairness and reasonableness of summary level cost estimates Using a direct comparison with the cost of a similar contract effort is an acceptable summary estimating technique.  True Identify contract situations where statistical analysis is an appropriate tool for developing a pre-negotiation objective You are preparing to negotiate a service task for routine maintenance of Government equipment. A sample of 25 records for similar maintenance tasks indicates that the average time required to perform similar maintenance tasks has been six hours and 40 minutes. How can you use this?  Developing a price negotiation objective for labor costs Identify the required cost elements in FAR Table 15-2 When certified cost or pricing data is required, data showing that adequate price competition for acquisitions exceeding the TINA threshold was obtained is required as part of the contractor’s proposal.  True Examine proposed labor rates to determine a fair and reasonable pre-negotiation position Which of these situations warrants the use of a round-table estimate?  A contract is for a unique item, and there is no historical data available (i.e., detailed drawings, bill of materials, firm specifications). Identify indirect cost pools and bases Which of the following is an indirect cost pool?  General and Administrative Expenses Establish the fairness and reasonableness of detailed quantity estimates Which of the following is an effective use of stratified sampling?  Analyzing the items that make up 80% of the total material cost and 10% of the remaining items Calculate a profit/fee using the appropriate structured approach When is the working capital adjustment used while calculating profit/fee?  all fixed price contracts with progress payments Identify contract pricing situations where simple regression analysis should be considered When using simple linear regression to analyze the estimated price for a used car, which of the following independent variables would result in a realistic estimating equation?  Mileage of all similar cars