1.Which of the following is essential to contract financing?

a.provision of government financing only to the extent necessary for prompt performance

b.assurance that contract financing will not impede the progress of the acquisition

c.assurance that the type of contract financing suggested is in the government's best interest

d.all of the above

1.Which of the following is a type of contract financing used in noncommercial acquisitions?

a.performance-based

b.commercial interim payment

c.delivery payment

d.none of the above

2.Which of the following is an appropriate condition for using the advance payment contract financing type?

a.contract terms will assist in the payment of rent

b.contract terms will expedite invoice payment

c.contract terms will assist in the management of payments for partial deliveries

d.contract terms are more favorable for the government than they would be in the absence of the contract financing

3.Which of the following is NOT considered an appropriate condition for using contract financing?

a.contract terms will assist in payment toward a lease

b.a bid is lower than it would have been in the absence of contract financing

c.a negotiated price is lower than it would have been in the absence of contract financing

d.none of the above

4.Which of the following is true with regard to contracting terms applied to noncommercial contract financing?

a.The contractor must demonstrate unavailability of private funding.

b.The contractor may not present as a small business concern.

c.The contractor may not be disqualified from contract financing solely based on the fact that it failed to identify a need for contract financing prior to the award of the contract.

d.all of the above

5.In the calculation of a progress payment for contract financing, which is true?

a.If a firm-fixed price, the contract price is the current contract price plus any un-priced modifications for which funds have been obligated.

b.The contracting officer will not make progress payments beyond the funds obligated under the contract.

c.If the contract is redeterminable or subject to economic price adjustment, the contract price is the initial price until modified.

d.all of the above

6.Which of the following is the best guideline for acquisition staff to apply when selecting an appropriate contract type to support customer needs?

a.Allow the customer to select the contract mechanism.

b.Identify the type of contract that best mitigates risk.

c.Always select a firm-fixed price contract.

d.none of the above

7.All of the following statements apply to an undefinitized contract action (UCA) EXCEPT __________.

a.Terms are not agreed upon before performance.

b.There are letter contracts.

c.There is a provisioned item order for which the price has not been agreed on.

d.Conditions of the contract are pre-negotiated.