FAC Risk & Compliance 5

Question 1

A contractor's forward pricing rate agreement (FPRA) is used primarily to:

Accepted Answer

Establish predetermined indirect rates for pricing future contract actions

Answer

An FPRA establishes predetermined indirect cost rates agreed upon between the government and contractor for pricing future contracts and modifications.

Question 2

Under the Service Contract Labor Standards (formerly Service Contract Act), what compliance risk does a contracting officer face when changing a contractor mid-contract?

Accepted Answer

The successor contractor must honor the predecessor's collective bargaining agreement wages for a transition period

Answer

Under 29 CFR Part 9, a successor contractor generally must pay wages not less than those the predecessor paid under any collective bargaining agreement for a transition period.

Question 3

Which compliance requirement applies when an agency modifies a contract to add new work that was not within the scope of the original competition?

Accepted Answer

The new work must be competed as a new acquisition unless a valid exception applies

Answer

Out-of-scope work added by modification can constitute an improper sole-source award, so it must be competed or justified under a valid FAR Part 6 authority.

Question 4

Which Cost Accounting Standard (CAS) addresses the requirement that contractors use the same cost accounting practices for estimating, accumulating, and reporting costs?

Accepted Answer

CAS 401 (Consistency in Estimating, Accumulating, and Reporting Costs)

Answer

CAS 401 requires contractors to use consistent cost accounting practices when estimating, accumulating, and reporting the costs of contracts.

Question 5

An agency awards a contract using other than full and open competition citing urgency (FAR 6.302-2). What post-award compliance action is required?

Accepted Answer

The agency must publish a justification and approval (J&A) in SAM.gov within 14 days

Answer

FAR 6.305 requires that J&As for other-than-full-and-open competition be posted on SAM.gov within 14 days of contract award.

(FAC) Federal Acquisition Certification Practice Test

(FAC) Federal Acquisition Certification Practice Test

FAC Risk & Compliance 5