CPCM Contract Performance and Administration 3

Question 1

When a contractor submits a request for equitable adjustment (REA), what must it demonstrate?

Accepted Answer

That the government caused a change entitling the contractor to additional compensation

Answer

Proof of fraudulent government intent

Answer

That the contractor's costs exceeded the contract ceiling

Answer

That the contracting officer failed to issue a cure notice

Question 2

Which report provides the government with the contractor's current projection of total costs at contract completion?

Accepted Answer

Estimate at Completion (EAC)

Answer

Work Breakdown Structure (WBS)

Answer

Contract Funds Status Report (CFSR)

Answer

Cost Performance Report (CPR) Format 5

Question 3

What is the primary function of a Contract Discrepancy Report (CDR)?

Accepted Answer

To formally notify the contractor of a performance deficiency requiring corrective action

Answer

To document unauthorized commitments by the contracting officer

Answer

To report contractor cost overruns to the Inspector General

Answer

To record changes to the contract delivery schedule

Question 4

Property management accountability in government contracts requires the contractor to:

Accepted Answer

Maintain records of all government-furnished property and report any loss, damage, or destruction

Answer

Purchase insurance for all government property at its own expense

Answer

Transfer ownership of improvements to the government upon contract award

Answer

Liquidate all government property within 30 days of contract expiration

Question 5

Which of the following is a key indicator that a contractor may be in financial distress during contract performance?

Accepted Answer

Contractor's payroll accounts show NSF (non-sufficient funds) warnings and key staff turnover increases

Answer

Contractor hires additional subcontractors

Answer

Contractor requests a contract extension

Answer

Contractor submits invoices ahead of schedule

Question 6

Subcontractor consent under FAR 44.2 is required primarily to:

Accepted Answer

Ensure the prime contractor selects subcontractors whose costs will be allowable and whose performance is adequate

Answer

Give the subcontractor direct rights against the government

Answer

Allow the government to audit the subcontractor directly

Answer

Require small business participation in subcontracts above $1 million