The Simplified Acquisitions Methods- Contract Administration and Essay

The Simplified Acquisitions Methods- Contract Administration and Management - Essay Example Government official can make and pay for a simplified acquisition using cash, purchase order, government wide purchase order at the convenience of the company (small businesses in this case). To win this acquisition, the company must simply provide contracting officials with a quotation. Simplified acquisition is a flexible method of purchasing as procedures vary by contract value. It also favors small businesses in the following ways: reduces administrative costs, improving opportunities for small firms, small disadvantaged firms and women owned small businesses, promotes efficiency and economically essential in acquisition of contracts and finally to avoid unnecessary burden for agencies and contractors. The public law established special requirements for the acquisition of commercial items intended to more closely resemble those customarily used in the commercial marketplace. The federal government developed a unit that conducted market research as an essential element of building an effective strategy for the acquisition of commercial items and establish the foundation for the agency description of need, the solicitation and resulting contracts (Office of the Federal Register US, 2010). The government also set specific procedures for solicitation, evaluation and award of contracts. Those procedures were to be adhered to by the contractors, thus making business favorable for small businesses. Other laws set by the federal government to monitor contracting include: contract quality assurance, notification of overpayment and determination of price reasonableness (Office of the Federal Register US, 2010). The use of technology has been an enormous advancement in the business sector; it makes transfer of information from one party to the other easily and efficiently. This therefore saves time as far as acquisition of products and contracting is concern. This can be achieved by attachment of quotations on a mail for

Mathematics of Finance Essay Example | Topics and Well Written Essays - 1250 words

Mathematics of Finance - Essay Example The potential of real option analysis is like Discounted Cash Flows (DCF), and other investment analysis techniques is simply another tool. The two techniques are complementary. Management should employ both methods in the analysis of potential investments and gather information from both (Amram, 2000). Further, we must consider a real option analysis is not ordinarily a simple technique. With it comes an amount of technical comfort required on the part of the analyst in order to implement the technique correctly. Like most techniques derived from financial theory, it is easily abused. Those who will utilize the information provided by real option analysis need training in the proper interpretation of its results (Eiteman, 2007). DCF analysis, defined as the process of valuing capital budgeting projects by discounting their future expected cash flows. DCF framework, defined as the valuing of an asset by discounting its expected future cash flows at some discount rate. Real option analysis is gaining in use and popularity. Senior management prefers this option because it has two sequences of a project. It describes the cash inflows and out flows at different times. Usually this is the way that management sees projects unfold. Real option analysis values management by its very nature.