The TERRIFIC tank program\'s FY 2015 procurement budget request contains suffici
ID: 467355 • Letter: T
Question
The TERRIFIC tank program's FY 2015 procurement budget request contains sufficient funds to cover the costs that its contractor expects to incur in FY 2015 during work on the production of 15 tanks. However, these 15 tanks cannot be completed without additional funding in FY 2016. This budget request:
Violates the full funding policy because the first tank on this contract cannot be delivered during FY 2015 Violates the incremental funding policy because it does not include funds for Research and Development of the tank Violates the full funding policy because it does not include the full cost of the 15 items it will be contracting for in FY 2015 Does not violate the full funding policy because it includes funds for all costs expected to be incurred in FY 2015Explanation / Answer
The TERRIFIC tank program's FY 2015 procurement budget request contains sufficient funds to cover the costs that its contractor expects to incur in FY 2015 during work on the production of 15 tanks. However, these tanks cannot be completed without additional funding in FY 2016. This budget request: Violates the full funding policy because it does not include the full cost of the 15 items it will be contracting for in FY 2015
It is not first option because, though it violates the full funding policy, it says the first tank on this contract cannot be delivered during FY 2015. If it has to deliver, it should deliver all the 15 tanks. In fact, the question is 15 tanks cannot be completed without additional funding in FY 2016.
It is not second option because, when budget for the tanks are declared, it was sufficient to cover all the costs that contractor incurs on the production of the tanks.
It is not fourth option because, it is violating the full funding policy
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