Business Studies, asked by reddyharish8902, 1 year ago

The three categories into which contracts can be broadly classified are:

Answers

Answered by Sidyandex
0

Following are main types of procurement contracts are further classified as mentioned.

• Fixed price contracts (FP) Firm Fixed Price (FFP) contracts: Fixed Price in addition to Incentive Fee (FPPI) contracts.

• Cost-Reimbursable contracts: Cost in addition to Fixed Fee (CPFF) contracts. Cost in addition to Award Fee (CPAF) contracts.

• Time and Material contracts.

Answered by bratislava
0

They include the fixed price, time, material and cost reimbursement.

Explanation:

  • The contracts are defined by the roles and responsibilities, they are legally binding and mitigate risks. It forms an agreement between the two parties. It includes the terms of payment, marketing literature, and the contract types depend on the environmental factors.
  • The fixed pricing contract is when defining a specific cation there is enough competition to determine the fair pries the fixed prices are used and seller bears the additional costs if the cost is more.  
  • FPIF contracts are based on the meeting criteria of sellers, that involves specific targets. Time and the material unit price is a type of contract the buyer pays per tie basis and is used for service efforts.
  • A cost-reimbursement contract is also called as a cost-plus contract is one in which the actual cost occurs in carrying out the work plus the additional fee.

Learn more about the three categories into which contracts can be broadly classified are.

  • brainly.in/question/5831737 answered by Sidyandex.
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