Contract Compliance & Management Flashcards
7 cards from real CCB practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Contract Compliance & Management flashcards as text
A contractor submits a Request for Equitable Adjustment (REA) after the government changes the contract scope. What is the contractor claiming?
Answer: Compensation for increased costs or time caused by a government-directed change
An REA is a contractor's formal request to adjust price, schedule, or both to account for increased costs or time resulting from a government-directed change.
Which ethical risk is most associated with 'organizational conflict of interest' (OCI) in government contracting?
Answer: A contractor using access to non-public information to gain an unfair competitive advantage
OCI occurs when a contractor's work for the government gives it unfair access to non-public information or the ability to bias future competitions in its favor.
What distinguishes a 'warranty' from a 'guarantee' in a contract compliance context?
Answer: A warranty is a seller's promise about product quality; a guarantee often refers to a third-party assurance of performance
A warranty is the seller's direct promise about goods or services meeting certain standards, while a guarantee typically involves a third party (like a surety) assuring performance.
In contract compliance, what is the significance of a 'cure notice'?
Answer: It gives the contractor a specified time to correct a failure before termination for default
A cure notice is a formal written warning giving the contractor a defined period (typically 10 days) to remedy a performance failure before the contract is terminated for default.
A compliance manager is reviewing a Cost-Plus-Incentive-Fee (CPIF) contract. Which feature is unique to this contract type?
Answer: The fee adjusts based on how well the contractor controls costs against targets
CPIF contracts include a target cost and fee, with the actual fee increasing or decreasing based on the contractor's cost performance relative to the target.
What is the role of a Contracting Officer's Representative (COR) in contract compliance?
Answer: To monitor contractor performance and serve as the technical liaison between the contractor and contracting officer
The COR monitors day-to-day contractor performance, verifies deliverables, and communicates technical issues to the contracting officer but has no authority to change contract terms.
Which scenario best illustrates a 'constructive change' to a government contract?
Answer: A government inspector's oral direction to use a higher-grade material not in the specification
A constructive change occurs when a government action or directive (even informal) effectively changes contract requirements, entitling the contractor to seek equitable adjustment.