CAPM (Certified Associate in Project Management) Practice Exam

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Prepare for the CAPM (Certified Associate in Project Management) exam with our informative quiz. Test your knowledge through multiple-choice questions and detailed explanations to boost your confidence and readiness for the certification.

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

Which statement is false regarding firm fixed-price contracts?

They are the most flexible type of contract.
They are the most common contract type.
Price is set at the outset and not subject to change.
Cost increases are the responsibility of the seller.

The correct answer is: They are the most flexible type of contract.

Firm fixed-price contracts are not the most flexible type of contract. In fact, they are known for being the least flexible type of contract. Once the price is set at the outset, it is generally not subject to change unless there are agreed-upon contract modifications. This type of contract places the responsibility for cost increases on the seller, making them less flexible for the seller compared to other contract types.