Preview Questions Defense Contract Manager | Role Specific Skill

Question 1: What is the most critical document to ensure compliance with the Federal Acquisition Regulation (FAR) during contract reporting in defense contracts?

Which action should you take?

Choose only one option

Performance evaluation

Payment schedule

Contract Data Requirements List (CDRL)

Deliverables timeline

Question 2: How do you address cost overruns in a defense contract when managing financial risk?

Which action should you take?

Choose only one option

By minimizing the number of contractors to reduce cost variability

By ignoring cost overruns as long as they do not impact deadlines

By reducing the scope of work to lower the project costs

By negotiating cost ceilings, implementing regular cost audits, and setting financial penalties for non-compliance

Question 3: How do you address financial disputes in defense contracts, particularly when there is disagreement over incurred costs?

Which action should you take?

Choose only one option

By relying on verbal agreements to resolve financial disputes

By excluding disputed costs from the final report to expedite closure

By accepting the contractor's invoice and adjusting the budget

By conducting an independent audit of the costs and ensuring that both parties provide substantiated documentation

Question 4: How does "Negotiating Fixed-Price Contracts" differ from cost-reimbursement contracts in the defense sector, particularly in risk management?

Which action should you take?

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Fixed-price contracts place more risk on the contractor, as they must meet performance criteria within the agreed price

Fixed-price contracts reduce the complexity of negotiating payment terms

Fixed-price contracts are irrelevant for large defense systems projects

Fixed-price contracts eliminate the need for monitoring contractor performance

Question 5: How do you mitigate the risks of project overruns due to scope creep in defense contracts?

Which action should you take?

Choose only one option

By allowing flexibility in the scope to accommodate changing needs

By minimizing the scope and avoiding any changes to it

By ignoring minor changes to the scope and focusing on deadlines

By implementing strict change control processes and ensuring all scope changes are formally approved

Question 6: In what way does the FAR (Federal Acquisition Regulation) impact the procurement process for aerospace defense contracts, and how should compliance be managed?

Which action should you take?

Choose only one option

FAR focuses solely on cost efficiency, disregarding other compliance factors

FAR is a voluntary framework, not legally enforceable

FAR is only relevant for civilian contracts and does not apply to defense projects

FAR provides a set of uniform guidelines for procurement processes, requiring regular review of contract terms