Procurement & Negotiation Strategies Flashcards
7 cards from real FAC practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Procurement & Negotiation Strategies flashcards as text
When using a Request for Quotation (RFQ) instead of a Request for Proposal (RFP), what is the key legal distinction regarding vendor responses?
Answer: Quotations are not offers and cannot be accepted to form a binding contract
A quotation is not an offer; only the government's subsequent purchase order or contract constitutes an offer that the vendor may accept.
Which of the following best describes 'price analysis' as defined in FAR 15.404-1(b)?
Answer: Evaluation of a price without analyzing the individual cost elements
Price analysis evaluates the overall price without breaking it down into cost elements, relying instead on market comparisons and other external benchmarks.
Under the Truth in Negotiations Act (TINA), at what dollar threshold must contractors certify that cost or pricing data submitted is current, accurate, and complete?
Answer: $750,000
TINA (10 U.S.C. 3702) requires certified cost or pricing data for negotiated contracts exceeding $2 million, though the threshold has changed; as of current FAR the threshold is $2 million.
A contracting officer is negotiating a cost-reimbursement contract. The offeror proposes a profit of 15%. Which FAR provision governs the structured approach to profit/fee analysis?
Answer: FAR 15.404-4
FAR 15.404-4 prescribes the structured approach contracting officers must use to analyze and negotiate profit or fee on cost-reimbursement contracts.
In a sole-source negotiation, what is the purpose of issuing a 'should-cost' review before negotiations begin?
Answer: To establish what it should cost to perform the work using efficient methods
A should-cost review assesses what efficient performance should cost, helping the government identify and challenge inefficiencies in the contractor's proposed costs.
Which of the following is NOT a permitted form of exchange with offerors during a pre-solicitation phase under FAR 15.201?
Answer: Disclosure of the competitive range determination
The competitive range determination is made after receipt of proposals and cannot be disclosed during pre-solicitation exchanges.
When a contractor claims that changed government requirements constitute a constructive change, what is the first step the contracting officer should take?
Answer: Investigate whether a government action informally directed work beyond the contract scope
The contracting officer must first determine whether a government action — directive, act, or omission — informally changed the contractor's work scope before deciding on appropriate relief.