The type of contract (payment mechanism) chosen for a project is often a reflection of the degree of risk associated with completing that project. For a firm fixed price contract, payment for risk _____ .A Is accomplished by paying the actual costs to the contractor.B Is accomplished by paying the contractor for his costs plus a fixed fee (profit).C Is an undisclosed contingency in the contractor's bid.D Is accomplished by paying for the budgeted costs of dealing with risks, as predicted in the project risk assessment.E B and C
The type of contract (payment mechanism) chosen for a project is often a reflection of the degree of risk associated with completing that project. For a firm fixed price contract, payment for risk _____ .
A Is accomplished by paying the actual costs to the contractor.
B Is accomplished by paying the contractor for his costs plus a fixed fee (profit).
C Is an undisclosed contingency in the contractor's bid.
D Is accomplished by paying for the budgeted costs of dealing with risks, as predicted in the project risk assessment.
E B and C
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