Finance

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1. Is a fixed-price contract a good way to achieve the government’s goal of curbing rising costs? Explain.

2. What problems do you foresee if any, for the government if they choose to adopt a fixed-price contract methodology for research and development? What benefits do you foresee?

3. What problems do you foresee if any, for a contractor if a fixed-price contract methodology for research and development is adopted? What benefits do you foresee?

4. What other contracting method(s) could be used to achieve the same goal? Explain why a particular method(s) would better, if even applicable.

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