FAC 069 Key info review Flashcards
_____ is used to evaluate the reasonableness of individual cost elements when certified cost or pricing data are required
cost analysis
_______ is the process and evaluating the proposed price without evaluating its separate cost elements or proposed profit
Price analysis
What usually involves some form of comparison? Cost or price analysis?
Price analysis
What is the preferred method for determining a fair and reasonable price?
Price analysis
What are these?
Comparison of proposed prices received in response to the solicitation, and comparison of the proposed prices to historical prices paid
the preferred techniques of price analysis
What are these?
-parametric estimation (yardstick method)
-comparison of commercial pricing
-comparison of proposed prices to the IGCE
-comparison of proposed prices with similar ones to market research
-data analysis other than certified cost or pricing
The other acceptable techniques definied in FAR 15.404-1(b2) for price analysis
What factors affect validity of historical prices?
1) time lapse
2) material difference between similar times
3) experts should be used to see the magnitude of changes
What are these?
-market conditions
-quantity or size of procurement
- geographic location
-purchasing power of dollar
-extent of competition
-technology
-government unique requirements
The multiple factors that may impact comparability and price
