Certified Authorization Professional – CAP – Question105

You are the program manager for your project. You are working with the project managers regarding the procurement processes for their projects. You have ruled out one particular contract type because it is considered too risky for the program. Which one of the following contract types is usually considered to be the most dangerous for the buyer?

A.
Cost plus incentive fee
B. Time and materials
C. Cost plus percentage of costs
D. Fixed fee

Correct Answer: C