Course

Course Summary
Credit Type:
Course
ACE ID:
MACI-0100
Organization's ID:
1170
Organization:
Management Concepts, Inc.
Location:
Classroom-based
Length:
8 days (32 hours)
Dates Offered:
Credit Recommendation & Competencies
Level Credits (SH) Subject
Lower-Division Baccalaureate 3 cost analysis
Description

Objective:

The course objective is to provide foundational knowledge of contract cost and price analysis and an opportunity for students to apply qualitative tools to accomplish cost and price analysis in accordance with the Federal Acquisition Regulation (FAR), Defense Federal Acquisition Regulation Supplement (DFARS), the DFARS Procedures, Guidance and Information (PGI), and the Contract Pricing Reference Guide (CPRG)

Learning Outcomes:

  • successfully distinguish various seller pricing strategies
  • describe the truthful cost and pricing data statute (TCPD), including its purpose in mitigating government cost risk
  • identify the policies and procedures for applying the cost accounting standards board (CASB) rules and regulations to negotiated contracts and subcontracts
  • identify the contract cost principles and procedures
  • recognize the essential elements of a market research report
  • demonstrate ability to execute fundamental quantitative pricing skills
  • determine an appropriate contracting strategy, including the contract type and other incentives
  • differentiate among financing arrangements, their order of preference, and the situations for use
  • accurately differentiate between price, cost, and cost realism analyses
  • pursuant to FAR 15.4, accurately differentiate the price analysis techniques
  • accurately assess price-related factors
  • apply the appropriate price analysis technique
  • pursuant to FAR 15.4, accurately perform proposal analysis and prepare to present your findings to the SSA for contract clearance
  • successfully summarize the roles and responsibilities of organizations involved in proposal analysis
  • successfully differentiate between direct and indirect costs
  • successfully summarize the evaluation of direct material and subcontract costs
  • successfully summarize the evaluation of indirect costs
  • demonstrate ability to calculate facilities capital cost of money (FCCOM)
  • demonstrate ability to employ the weighted guidelines (WGL) for calculating negotiation profit objectives
  • demonstrate ability to complete a settlement action relating to defective pricing

General Topics:

  • The contracting environment
  • Truthful cost or pricing data
  • Cost accounting standards
  • Contract cost principles and procedures
  • Market research
  • Quantitative methods for contract pricing
  • Using price indexing
  • Analyzing shape, center, spread, trend characteristics
  • Cost estimating relationships
  • Cost-volume analysis
  • Cost-volume profit analysis
  • Contracting strategy
  • Contract types, incentives, and risks
  • Contract financing
  • Price analysis
  • Differences between cost and price analysis
  • Price related factors
  • Price analysis techniques
  • Module capstone exercise
  • Cost analysis
  • Cost analysis process, players, and business systems
  • Direct and indirect costs
  • Direct costs
  • Indirect costs
  • Cost analysis
  • Facilities capital cost of money (FCCOM)
  • Profit (weighted guidelines)
  • Cost analysis certification, sweeps, defective pricing, and final pricing
  • Module capstone exercise
  • Pricing conclusion
Instruction & Assessment

Instructional Strategies:

  • Audio Visual Materials
  • Classroom Exercise
  • Discussion
  • Learner Presentations
  • Lectures
  • Practical Exercises

Methods of Assessment:

  • Examinations
  • Performance Rubrics (Checklists)

Minimum Passing Score:

80%
Supplemental Materials