L3M3 Exam Dumps : Contract Administration

Explanation

When profitability is spoken of as a % the selling price, the profit element is called the margin.

Explanation

Transfer.

Some of the risk has been transferred to the insurance company.

Explanation

Cost of production, and shareholder and managerial expectations of profit, are both internal factors in decision-making. Although shareholders may be outside the firm, management will condition shareholders' expectations. Customer perception of value and the extent of marketplace competition are significantly outwith the control of the company.