Price Index (for contracts).
Not what you're looking for? Search our solutions OR ask your own Custom question.
I would like to know if I solved the following question.
A $400,000 fixed price EPA contract contains a provision requiring an adjustment for 10% of the contract price based on changes in the index identified in the contract. That index at the time of contract award was 124.5. At the time of delivery the index was 132.0. What is the final contract price?
Adjustment = current index / base index = 124.5 / 132.0 = 0.943
© BrainMass Inc. brainmass.com March 6, 2023, 3:08 pm ad1c9bdddfhttps://brainmass.com/business/profitability-index/price-index-contracts-521580
Solution Preview
Note: If you have time, kindly rate my solutions. It will be much appreciated and helpful to me. Thanks!
** ...
Solution Summary
This solution calculates how to find the final contract price of a given problem.
$2.49