Federal Contracting Activities and Contract Types
The Department of Defense plans to issue a $1,000,000 government contract to a company that specializes in the manufacturing of drone navigation systems. As a result, a government auditor has been contacted to examine the operational data VectorCal and your company in order to decide which company should win the government contract.

Note: You may create and/or make all necessary assumptions needed for the completion of this assignment.

In order to complete this assignment, refer to Assignment 1 where you discussed VectorCal and your company.

You may use the Government Policies Regarding Profit and Preferred Measure and Processing of Equitable Adjustments Case Analysis [DOCX] to assist you with formatting and completing the paper.

Assignment Instructions
Write a 6–8 page paper in which you:

Create a 1-page overview of the history of VectorCal and Universal Drones Inc., the companies competing for the government contract.
The government is deciding on which contact type it will offer. Discuss firm fixed-price and cost reimbursement contracts and what the preferred preference would be for each company when the government decides on a type. Justify the response.
The government decided that it will offer a firm-fixed price contract for this project. Discuss the expenses in detail for each company. The following should be included in these costs:
Direct Costs.

Labor.

Operating.

Indirect Costs.

Labor.

Operating.

Suggest which company should be awarded this government contract based on the data that was presented for each company. Next, provide three to five reasons to support your stance.