The Project Manager is creating an estimate for building a company WAN (wide area network.) As the Project Manager, you have undertaken the make-or-buy decision and determined that the WAN implementation should be outsourced because your company
does not have the expertise.
After receiving all the vendor proposals, you find that two of the proposals specify cost-plus-fixed-ee, two other of the vendors specify fixed-price, another two specify cost-plus-incentive-fee, and the last two specify time and material. Which of the proposals would
present the least probability of loss for the company?


A. Proposals that use fixed-price
B. Proposals that use cost-plus-fixed-fee
C. Proposals that use time and material
D. Proposals that use cost-plus-incentive-fee