[Code of Federal Regulations]

[Title 48, Volume 1]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 48CFR16.204]



[Page 307-308]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 16_TYPES OF CONTRACTS--Table of Contents

 

                   Subpart 16.2_Fixed-Price Contracts

 

Sec. 16.204  Fixed-price incentive contracts.



    A fixed-price incentive contract is a fixed-price contract that 

provides for adjusting profit and establishing the final contract price 

by a formula based on the relationship of final negotiated total cost to 

total target cost. Fixed-price incentive contracts are covered in 

subpart 16.4, Incentive Contracts. See 16.403 for more complete 

descriptions, application, and limitations for



[[Page 308]]



these contracts. Prescribed clauses are found at 16.406.



[48 FR 42219, Sept. 19, 1983, as amended at 59 FR 11387, Mar. 10, 1994; 

62 FR 12695, Mar. 17, 1997]