Term Answer Definition Administer Procurements A. A contract that pays a seller a fixed price for a well defined or detailed product or service 2 Bill of Materials (BOM) B. A request to a potential seller from the buyer for specific information 3 Close Procurements C. A clause in the contract that allows both the buyer and the seller to end the contract Contract D. The process of managing the relationship between buyer and seller E. A contract in which a supplier is paid for direct and indirect cost 5 Cost-plus-percentage of Cost (CPPC) Contract actually incurred on the project 6 Cost-reimbursable (CR) F. The process of attaining goods and services for a project from outside Contract the organization G. A part of the payment per the terms of the contract that the buyer 7 Fixed-price Contract retains until the project is complete; used to ensure that the seller completes the work per terms of the contract Fixed-price-Incentive-fee H. A formal document showing the hierarchy of components or pieces (FPIF) Contract and their sub-components or sub-pieces that make up the product 1. Documents involved in the bidding and proposal activities; can include Procurement request for information (RFI), request for quote (RFQ), or request for proposal (RFP) Procurement Documents J. A mutually binding agreement that requires the services provider to 10 Output/Input) supply the specified services or goods and requires the buyer to pay for them per the terms of the document 11 Project Procurement K. A description of services, products, and work results to be Management accomplished on a project or other initiative L. A contract in which the seller provides products or services based on a 2 Request for Information (RFI) well defined scope of work for a set price; also includes a fee structure that provides more payment for achieving pre-defined performance objectives 13 Retainage M. A contract that reimburses the seller for cost, plus a negotiated percentage of the total costs 14 Statement of Work (SOW) N. The acquisition of goods or services from an outside source (vendor) Termination Clause O. The process of completing the contract; includes settlement on any open items