Cisco
CompTIA
ISC
EC-Council
EXIN
Fortinet
ITIL
Juniper
Microsoft
VMware
Avaya
SAP
Google
NVIDIA
Salesforce
Amazon
Palo Alto Networks
ISC2
Splunk
ServiceNow
All Vendors
  2. Home
  3. Exams
  4. RACC
  5. CRA

RACC CRA Exam
Certified Research Administrator (CRA) (Page 3 )

Updated On: 1-Feb-2026
Page 3 of 49
PDF with 240 Questions

A time-and-materials contract would provide for acquiring supplies or services on the basis
of:

  1. direct labor hours at specified fixed hourly rates
  2. indirect labor hours at specified fixed hourly rates
  3. direct labor hours at discounted hourly rates
  4. indirect labor hours at discounted hourly rates
  5. None of the choices.

Answer(s): A

Explanation:

A time-and-materials contract would provide for acquiring supplies or services on the basis of direct labor hours at specified fixed hourly rates that include wages, overhead, general and administrative expenses, and profit; and actual cost for materials. It would typically be used when it is not possible at the time of placing the contract to estimate accurately the extent or duration of the work or to anticipate costs with any reasonable degree of confidence.



A time-and-materials contract would provide no positive profit incentive to the contractor for cost control but labor efficiency.

  1. True
  2. False

Answer(s): B

Explanation:

A time-and-materials contract would provide for acquiring supplies or services on the basis of direct labor hours at specified fixed hourly rates that include wages, overhead, general and administrative expenses, and profit; and actual cost for materials. It would typically be used when it is not possible at the time of placing the contract to estimate accurately the extent or duration of the work or to anticipate costs with any reasonable degree of confidence. Since a time- and-materials contract would provide no positive profit incentive to the contractor for cost control or labor efficiency, appropriate government surveillance of contractor performance could be expected.



A labor-hour contract is a variation of:

  1. the time-and-materials contract
  2. the multi-year contract
  3. the multi-source funding contract
  4. the letter contract
  5. None of the choices.

Answer(s): A

Explanation:

A labor-hour contract is a variation of the time-and-materials contract, differing only in that materials are not supplied by the contractor. On the other hand, a letter contract is a written preliminary contractual instrument that authorizes the contractor to begin immediately manufacturing supplies or performing services. This type of contract would be used when the government's interests demand that the contractor be given a binding commitment so that work can start immediately and that negotiating a definitive contract is not possible in sufficient time to meet the requirement.



Which of the following is a written preliminary contractual instrument that authorizes the contractor to begin immediately manufacturing supplies or performing services?

  1. the time-and-materials contract
  2. the multi-year contract
  3. the multi-source funding contract
  4. the letter contract
  5. None of the choices.

Answer(s): D

Explanation:

A labor-hour contract is a variation of the time-and-materials contract, differing only in that materials are not supplied by the contractor. On the other hand, a letter contract is a written preliminary contractual instrument that authorizes the contractor to begin immediately manufacturing supplies or performing services. This type of contract would be used when the government's interests demand that the contractor be given a binding commitment so that work can start immediately and that negotiating a definitive contract is not possible in sufficient time to meet the requirement.



Which of the following acts would require that certain contracts contain a clause specifying that no laborer or mechanic doing any part of the work contemplated by the contract would be required or permitted to work more than a certain number of hours in any workweek?

  1. Contract Work Hours and Safety Standards Act
  2. Contract Work Safety Act
  3. Contract Work Health Standards Act
  4. Privacy Act of 1974
  5. Freedom of Information Act
  6. There is no such act.
  7. None of the choices.

Answer(s): A

Explanation:

Contract Work Hours and Safety Standards Act - You want to know that this Act would require that certain contracts contain a clause specifying that no laborer or mechanic doing any part of the work contemplated by the contract would be required or permitted to work more than 40 hours in any workweek unless paid for all such overtime hours at not less than 1 1/2 times the basic rate of pay.



Viewing page 3 of 49
Viewing questions 11 - 15 out of 240 questions



Post your Comments and Discuss RACC CRA exam prep with other Community members:

Join the CRA Discussion