A project manager discovers that there is a part of the project that contains some risk. His

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A project manager discovers that there is a part of the project that contains some risk. His or her strategy with this risk is to subcontract the work to an outside supplier by using a firm fixed price contract. Which of the following is true?

a. The supplier will include an allowance for the risk in the contracted price.

b. The supplier will lose money on the contract.

c. The project manager will have to compensate the supplier if the risk occurs.

d. The project manager will assist the supplier with the project team if the risk occurs.

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