When sequencing activities, what does the common acronym FF stand for?
Correct Answer: D
Section: Closing
Question 332
The buyer has negotiated a cost-plus-incentive fee contract with the seller. The contract has a target cost of $300,000, a target fee of $40,000, a share ratio of 80/20, a maximum fee of $60,000, and a minimum fee of $10,000. If the seller has actual costs of $380,000, how much fee will the buyer pay?
Correct Answer: D
Section: Mix Questions Explanation: Comparing actual costs with the target cost shows an $80,000 overrun. The overrun is shared 80/20 (with the buyer's share always listed first). In this case 20% of $80,000 is $16,000, the seller's share, which is deducted from the $40,000 target fee. The remaining $24,000 is the fee paid to the seller.
Question 333
Which of the following is true?
Correct Answer: D
The project management plan describes the processes you'll use to perform the project and describes how the project will be executed, monitored, controlled, and closed.
