COR COR Invoice Review & Payment Processing 2

Question 1

What type of billing is used on cost-reimbursement contracts where contractors bill as costs are incurred?

Accepted Answer

Cost vouchers

Answer

Cost vouchers are the invoicing mechanism used on cost-reimbursement contracts to bill the government as allowable costs are incurred.

Question 2

The COR discovers a contractor has overbilled for labor hours on the most recent invoice. What is the COR's first action?

Accepted Answer

Document the discrepancy and notify the Contracting Officer

Answer

The COR must document the overbilling discrepancy in writing and immediately notify the Contracting Officer, who has authority to reject or adjust the invoice.

Question 3

What interest rate applies when the government fails to pay a proper invoice on time under the Prompt Payment Act?

Accepted Answer

Treasury's Current Value of Funds Rate

Answer

Late payments under the Prompt Payment Act accrue interest at the Treasury's Current Value of Funds Rate, published quarterly.

Question 4

Progress payments on fixed-price contracts are typically based on what?

Accepted Answer

Costs incurred by the contractor to date

Answer

Progress payments on fixed-price contracts are generally based on costs the contractor has incurred performing the contract.

Question 5

Which FAR clause governs payment terms for fixed-price contracts?

Accepted Answer

FAR 52.232-1

Answer

FAR 52.232-1, Payments, establishes the standard payment terms applicable to fixed-price supply and service contracts.

(COR) Contracting Officer's Representative Certification Practice Test

(COR) Contracting Officer's Representative Certification Practice Test

COR COR Invoice Review & Payment Processing 2