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Cost-Plus Contract
(redirected from Cost Plus Contract)

   Also found in: Dictionary/thesaurus, Encyclopedia, Wikipedia 0.03 sec.
Cost-plus contract
A contract in which the selling price is based on the total cost of production plus a fixed percentage or fixed amount.

Cost-Plus Contract
An agreement between a buyer and seller in which the seller agrees to make or produce a good for the buyer. The selling price is the cost to the seller of making or producing the good in addition to some fixed fee or percentage of the cost. See also: Cost-plus pricing.


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Although the Defense Contract Management Agency and the Defense Contract Audit Agency are most commonly used to monitor higher risk contracts, such as cost plus contracts, they are potential resources available to assist program offices in monitoring fixed-price performance-based contracts.
The agreement between Big Sugar and Legacy was a cost plus contract with a maximum price tag of $2.
Do not even sign the cost plus contract or the unit price contract.
 
 
 
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