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Code of Federal Regulations (Last Updated: July 5, 2024) |
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Title 48 - Federal Acquisition Regulations System |
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Chapter 2 - Defense Acquisition Regulations System, Department of Defense |
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SubChapter C - Contracting Methods and Contract Types |
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Part 215 - Contracting by Negotiation |
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Subpart 215.9 - Profit |
§ 215.902 - Policy.
Latest version.
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Departments and agencies shall use a structured approach for developing a prenegotiation profit or fee objective (profit objective) on any negotiated contract action that requires cost analysis, except on cost-plus-award-fee contracts (but see 215.974). There are three approaches—
(1) The weighted guidelines method;
(2) The modified weighted guidelines method; and
(3) An alternate structured approach.