Amount-Based Pricing

Amount based pricing for government contracts is similar to amount based pricing for standard contracts. See Understanding Pricing Contracts (ADD LINK HERE). This includes the use of Order Management and the Enterprise Pricer to define list prices for billing and standalone sales prices for revenue. This also includes an allocation the contract's fixed price amount across amount-based contract lines. A contract cannot be set to an active processing status until the fixed price amount has been properly allocated on the Billing and Revenue Allocation pages. For revenue allocation, government contracts can use functionality to automate the allocation of total revenue across contract lines including amount and rate based lines that separate billing and revenue.

After the contract is in an active processing status, any changes to the fixed price amount must be completed using amendment processing.

See Amending a Contract.