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CIPS Defining Business Needs L4M2 Question # 69 Topic 7 Discussion

CIPS Defining Business Needs L4M2 Question # 69 Topic 7 Discussion

L4M2 Exam Topic 7 Question 69 Discussion:
Question #: 69
Topic #: 7

A company has installed a new piece of capital equipment but needs to arrange a maintenance contract for three years. The company wants to know as accurately as possible what this price will be for the full contract. What would be an appropriate type of pricing mechanism to use when asking suppliers to quote prices?


A.

Fixed price with adjustment for inflation


B.

Fixed price


C.

Cost plus percentage fee


D.

Cost plus fixed fee


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