PMP Certification Mix Questions Test 7

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Question : 29 of 70

Marks: +1, -0

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-fee, 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?

Proposals that use fixed-price
Proposals that use cost-plus-fixed-fee
Proposals that use time and material
Proposals that use cost-plus-incentive-fee

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