§ 1-8.803-9 Only). Format 803-9, Termination Inventory Schedule E (Short Form for Use with Format 802-3 (b) Page 2 of Format 803-9. INSTRUCTIONS FOR USE TERMINATION INVENTORY SCHEDULE (Short Form) A. CLASSIFICATION.-No specific classification required but similar items should be grouped together. Several classifications may be listed on one form. B. DESCRIPTION (Column b).—A full commercial description is required C. CONDITION (Column c).-For purposes of indicating condition of ma- E-Used-reconditioned O-Used-usable without repairs 1-Excellent 3-Fair 4-Poor D. COST (Columns e and f).—Any generally recognized basis for costing inventory may be used, provided it has been regularly used by the contractor and properly reflects his costs. E. COMMON ITEMS. Any items of inventory reasonably usable, without loss to the contractor on his other work, because they are materials, parts, or components, common in nature to both the terminated contract and other work of the contractor, are not to be listed except for items the delivery of which has been required by the Government and except for Governmentfurnished property (See Inventory Schedule Certificate.) F. PROCEEDS OF AUTHORIZED SALE (Column g).—Insert the letter "A" G. GOVERNMENT-OWNED PROPERTY (a) Government-furnished property should be listed on separate sheets, marked to show that the items are Government-furnished. (b) Where title to materials purchased by the contractor is vested in the Government, such materials should be listed and cost data supplied. H. MISCELLANEOUS (a) Separate Schedules.—If the space provided for any information called for is insufficient attach separate supporting schedules. (b) Number of pres.-The number of sets of inventory schedules moi quin will be indicated by the contracting officer or the customer from whom the bot of tmination is received. SPECIME § 1-8.804-1 Format 804–1, Schedule of Accounting Information. (a) Page 1 of Format 804-1. SCHEDULE OF ACCOUNTING INFORMATION To be used by prime contractors submitting termination claims under Part 1-8 of the Federal Procurement Regulations (41CFR 1-8). Also suitable for use by subcontractor in effecting subcontract settlements with prime contractor or intermediate subcontractors. 1. INDIVIDUAL IN YOUR ORGANIZATION FROM WHOM ADDITIONAL INFORMATION MAY BE REQUESTED ON QUESTIONS RELATING TO: PROPERTY DISPOSAL ACCOUNTING MATTERS 2. ARE THE ACCOUNTS OF THE CONTRACTOR SUBJECT TO REGULAR PERIODIC EXAMINATION BY INDEPENDENT PUBLIC ACCOUNTANTS? (Name and address of accountants) SPECIMEN INDEPENDENT ACCOUNTANTS, IF ANY WHO HAVE REVIEWED OR ASSISTED IN THE PREPARATION OF THE ATTACHED PROPOSAL 3. 4. GOVERNMENTAL AGENCY WHICH HAS REVIEWED YOUR ACCOUNTS IN CONNECTION WITH A PRIOR SETTLEMENT PROPOSAL DURING THE CURRENT AND PRECEDING FISCAL YEAR 5. HAVE THERE BEEN ANY SIGNIFICANT DEVIATIONS FROM YOUR REGULAR ACCOUNTING PROCEDURES AND POLICIES IN ARRIVING AT THE COSTS SET FORTH IN THE ATTACHED PROPOSAL? YES NO. IF "YES," EXPLAIN BRIEFLY 6. WERE THE DETAILED COST RECORDS USED IN PREPARING THE PROPOSAL CONTROLLED BY AND IN AGREEMENT WITH YOUR GENERAL BOOKS OF ACCOUNT? YES NO 7. WERE INVENTORY QUANTITIES BASED ON A PHYSICAL COUNT AS OF THE DATE OF TERMINATION? YES NO. IF "NO," EXPLAIN EXCEPTIONS WHERE THE SPACE PROVIDED FOR ANY INFORMATION IS INSUFFICIENT, ATTACH SEPARATE SCHEDULES (b) Page 2 of Format 804-1. YES NO. IF "YES," HAS ADJUSTMENT TO ACTUAL COST OR ADJUST 8. IS THIS SETTLEMENT PROPOSAL BASED ON STANDARD COSTS? 9. DOES THIS PROPOSAL INCLUDE CHARGES FOR MAJOR INVENTORY ITEMS AND CLAIMS OF SUBCONTRACTORS COMMON TO THIS TERMINATED CONTRACT AND OTHER WORK OF THE CONTRACTOR? YES NO. IF "YES," EXPLAIN THE METHOD USED IN ALLOCATING AMOUNTS TOTHE TERMINATED PORTION OF THIS CONTRACT 10. EXPLAIN BRIEFLY YOUR METHOD OF PRICING INVENTORIES, INDICATING WHETHER MATERIAL HANDLING COST HAS BEEN INCLUDED IN CHARGES FOR MATERIALS EXPLAIN 11. ARE ANY PARTS, MATERIALS, OR FINISHED PRODUCT, KNOWN TO BE DEFECTIVE, INCLUDED IN THE INVENTORIES? YES NO. IF "YES," 12. HAVE ANY CHARGES BEEN INCLUDED IN THIS PROPOSAL IN RESPECT OF SEVERANCE, DISMISSAL, OR SEPARATION PAY? YES NO. IF "YES," FURNISH BRIEF EXPLANATION AND ESTIMATES OF AMOUNTS INCLUDED SPECIMEN 13. DOES THIS PROPOSAL INCLUDE ANY ELEMENT OF PROFIT TO THE CONTRACTOR OR A RELATED ORGANIZATION, OTHER THAN PROFIT SET FORTH SEPARATELY IN THE PROPOSAL OR INCLUDED IN THE CONTRACT PRICE AT WHICH ACCEPTABLE FINISHED PRODUCT, IF ANY, IS INCLUDED IN THE PROPOSAL? YES NO. IF "YES," EXPLAIN BRIEFLY 14. DESCRIBE BRIEFLY THE NATURE OF INDIRECT EXPENSE ITEMS INCLUDED IN INVENTORY COSTS (see Schedule A, Format 802-1); AND EXPLAIN YOUR METHOD OF ALLOCATION USED IN PREPARING THIS PROPOSAL, INCLUDING IF PRACTICABLE, THE RATES USED AND THE PERIOD OF TIME UPON WHICH THEY ARE BASED 15. DO THE COSTS SET FORTH IN THE ATTACHED PROPOSAL INCLUDE PROVISIONS FOR ANY RESERVES OTHER THAN DEPRECIATION RESERVES? YES NO. IF "YES," LIST SUCH RESERVES 16. STATE METHOD OF ACCOUNTING FOR TRADE AND CASH DISCOUNTS EARNED, REBATES, ALLOWANCES, AND VOLUME PRICE ADJUSTMENTS. ARE SUCH ITEMS EXCLUDED FROM COSTS CLAIMED? YES NO WHERE THE SPACE PROVIDED FOR ANY INFORMATION IS INSUFFICIENT, ATTACH SEPARATE SCHEDULES 2 (c) Page 3 of Format 804-1. 17. STATE POLICIES RELATING TO RECORDING OF OVERTIME, SHIFT PREMIUMS AND PRODUCTION BONUSES 18. DOES CONTRACTOR HAVE A PENSION PLAN? RENT PENSION SERVICE COSTS YES NO. IF YES," STATE METHOD OF FUNDING AND ABSORPTION OF PAST AND CUR 19, STATE GENERAL POLICIES RELATING TO DEPRECIATION AND AMORTIZATION OF FIXED ASSETS; BASES, UNDERLYING POLICIES SPECIMEN 20. STATE POLICY OR PROCEDURE FOR RECORD WWRITING OFF STARTING LOAD 21. ARE PERISHABLE TOOLS AND MANUFACTURING SUPPLIES CHARGED DIRECTLY TO CONTRACT COSTS OR INCLUDED IN OVERHEAD EXPENSES? 22. POLICIES FOR DISTINGUISHING BETWEEN CHARGES TO CAPITAL (fixed) ASSET ACCOUNTS AND TO REPAIR AND MAINTENANCE ACCOUNTS WHERE THE SPACE PROVIDED FOR ANY INFORMATION IS INSUFFICIENT, ATTACH SEPARATE SCHEDULES 3 |