Assignment Instructions: Using the Federal Acquisition Regulation and other resources. You are required to submit a 3 page research paper (not counting the references page)

Within the context of your paper you MUST (at a minimum) answer/address the following:

1. What is cost realism and what is its purpose?

2. When should cost realism be used?

3. What is the most probable cost, how is it determined and how is it used when awarding a cost reimbursement contract?

4. Specifically refer to GAO decision B-259479.2, KPMG Peat Marwick, dated 9 May 1995 to explain how this case relates to cost realism

Cost Realism