CebvE Tun BEL AP mee “Ow Ox — ~m et CU yes. shew emsismer (i) and cetrect sumbern af ferent or 6 mperah page ) OOES Ts COST bVeeaky COMFORm With Tee COST PRINCIPLES APPLICABLE TO TOUR CONTRACT. Ow Ow (if as. explem om revert or uparaic page ) ais proposal is submirted for use in coonection with and in response to accordance ® ith the Instructions to Offerors and the Footnores which follow. Sand reflects our best estimates as of chis dace, ®* Descrioe REP. 8s. BGNATURE PED wamE AND TITLE DATE OF Subs wat OF Fein FOOTNOTES NOTE 1. Eaver in this column those necessary aod reasonable costs which in the judgment of the offeror will properly be incurred in the eficien: performance of the contract. Bhen any of the costs in this column have already been incurred (¢.g.. on o letter contract or change order}, describe them on an attached supporting schedule. K'hen “preproduction” of “startup” coms are significant or when speciécally requested ia detail by the contracting of6cer, provide a full identihestion aad explanation of same. Idenufy ali sales and transfers bermeen your plaau, divisions, of ofgantimtions ender a common control, which are included at other than the lower of cost to the ongias! NOTE 6. laciede standard commercia) tems sormally fabricand ia whole or is part by you which ere generally stocked in igventory. Provide explanation for inclusion at other chan the lower ef con or current market price. NOTE 9. lachude all materials sold or cransferred bereera your plants, divisions or organizations uader a common contro! at ether than cost to the original transferror and provide explanation of priciag enhod aed. transferror of current market price. NOTE 10. Indicate che rates used and provide an appropriase esplanation. Where agreement bes been reached with efament repre: sentatives oc the use of forward pricing rates, describe the seture of MOTE 2. The use of this column is optional for multiple line nem proposals, except where the contracting officer determines that a separate Options! Form $9 is requited for selected line nem. the agreement. Provide the method of computation and applicanon of rour overhead expense, including coer breakdown, and showing treads and budgetary data as secessary to provide o basis for evaluacon of the restonsbieness of propoved rates. NOTE 3. Artech separate pages as necessary and identify im this colemn the etachment in which the informanon supporting the specific cost element may be found. No standatd forma: is prescribed, how. ever, the cout or pricing data must be eccuratc, complete and current, and the judgment factors used ia projecting from the dats to the estimates must be stated in sufficient detail to ensble the Contracting OfScer to evaluate the proposal. For example, provide the basis used for pricing the bill of material: such ss by vendor quotations, shop estimates, of invoice prices; the reason ese of overhead rates which depart significantly from experienced cares (reduced volume, a planned NOTE 11. Include separate breakdown of cost. NOTE 12. Provide a separate breakdown of labor by job cacrgory aad fernish basis fot cost estimates. mayer rearrangement. et¢.j: oF justification for an increase in labor rates NOTE 15. Include all other eximated cose: (sg., specie! tooling, facils- famticipaied wage and salary increaus, etc.j. ldentify and explain any contingencies which ase included in the proposed price, such as anuc- es. special gest equipment. special ai rearrangeaens, preervence pechaging ond packing. spoilage and rework, and warranty} which are a osherwice included. identify separstely each cavegory of com and provide supporing details. If the proposal is based on a F.0.B. dessBBLON price, indicate seperately of] outbound transporadon costs iacl in toc] amoust wpated costs of rejects and defective work, anticipated cesu of eaginettimg tadesign end retesting, ef anticipated technical dificulsies in designing huigh-ruk components. NOTE 4. Provide a list of princips! ems withia each category of waterial indicating known of anticipated source, Quantity, ESit price, competition ettained, and basis of establishing source and reasonable. sess of coat. NOTE 14. If the socal cost entered bere is ia excess of $250, provide NOTE $. Include matersa! for che propesed contract other than me- agreement: pecent numbers, patent application serial mumbers, or echer basis on which the royale,is peyable: bref description, includiog any part or modt! aumbers of each contract tem of component es which the royalty is payable, percentage of dollar rate of royalty per unit, nit price of contract tem, mumber of anits; and total dollar amount @8 0 seperate page the feliowing information ef esch separave em of roysity or bicense fee: same aad addres: of licensor, date of license errial described in the other footnetes ander the con elrment earuled “Direct Material.” NOTE 6. laclude pars, components, assemblies, and services to be produced ot performed by other than you in accerdance sith your designs, speciicauons, or directions end applicable only tq the pnae Contract of royalties. ln addition, if specifically requested by the conescuag effcer, a copy of the current license agreement sod identifaauon of applicable claims of speciic perents shall be provided. NOTE 15, Selling price must include any applicable Federal excise ux NOTE “. Include raw and processed material for the proposed contract in a form of suste which requires further processing. "on Gnished srucies. See Reverse for Lastructioas 2 + ~~ + OPTIONAL FOAM 59 (10-71)