DOCUMENT

Contract Price Analysis - Colorado 1997

  • YEAR CREATED: 1997
  • ENTITY TYPE: State
  • TYPE OF DOCUMENT: POL - Policies/Procedures
This document provides information on contract pricing and cost analysis. It emphasizes the importance of having data to perform cost analysis effectively. Without data, it is not possible to conduct a thorough analysis of costs. The document specifically mentions that in procurements or when negotiating modifications, having data is crucial for cost analysis. It explains that data is necessary to evaluate actual or anticipated costs and determine a fair and reasonable price. The document also discusses the relationship between price analysis and negotiation, highlighting that the absence of information can lead to fact-finding questions during negotiations. It defines cost analysis as an evaluation of costs and explains its purpose in determining a fair and reasonable price. The document further delves into the analysis of specific cost categories such as variable costs/direct costs and indirect costs. It emphasizes the need for reasonableness and consistency in cost allocation and provides an example of cost breakdown for computer installation/software development. Overall, the document stresses the significance of having data for cost analysis and its role in procurement and negotiation processes.
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