Audit & Accountability Flashcards
7 cards from real Government Procurement Certification practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Audit & Accountability flashcards as text
Under FAR Part 42, which agency is primarily responsible for conducting contract audits for defense contractors?
Answer: Defense Contract Audit Agency (DCAA)
The DCAA is responsible for auditing defense contractor accounting systems and costs under FAR Part 42.
What is a 'forward pricing rate agreement' (FPRA) used for in government contracting?
Answer: Establishing agreed-upon indirect cost rates for pricing future proposals
An FPRA establishes agreed indirect cost rates between the contractor and government for use in pricing future proposals.
Which audit type examines whether a contractor's accounting system is capable of accurately tracking costs by contract?
Answer: Accounting system audit
An accounting system audit evaluates whether the contractor's system can adequately segregate and track costs by contract.
What is the statute of limitations for the government to assert a claim against a contractor under the Contract Disputes Act (CDA)?
Answer: 6 years from the date the claim accrues
Under the CDA, both the government and contractor have 6 years from when the claim accrues to assert a claim.
A contractor submits an incurred cost submission (ICS) that is found to be inadequate. What is the consequence?
Answer: The government may withhold payments until adequate submission is received
If an ICS is found inadequate, the government may withhold a percentage of payments until the contractor submits an adequate ICS.
Under the Truth in Negotiations Act (TINA), what is 'defective pricing'?
Answer: Providing cost or pricing data that was inaccurate, incomplete, or non-current at the time of agreement
Defective pricing occurs when certified cost or pricing data submitted was inaccurate, incomplete, or non-current, entitling the government to a price reduction.
What does a 'should-cost' analysis involve in government procurement?
Answer: Independently estimating what a contract should cost using engineering and cost analysis
A should-cost analysis is a government evaluation that estimates the realistic cost of performance using detailed engineering and cost analysis techniques.