(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 for all items which have commercial value. For other items, furnish only such description as is sufficient to enable the contracting officer or the customer to determine the appropriate disposition. C. CONDITION (Column c).-For purposes of indicating condition of material, the code indicated below should be used. It requires the combination of a letter and a number in each instance (as E4 or N2). Use the letter "X," without a number for material considered to have no further valve for use as originally intended, but of possible salvage value other than as scrap. If considered scrap, insert on "'S." 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 insuffic, attach separate supporting schedules. (b) Number of caps.-The number of sets of inventory schedules requing will be indiepted by the contracting officer or the customer from ination is received. SPECIME 471 (b) Page 2 of Format 804-1. 8. IS THIS SETTLEMENT PROPOSAL BASED ON STANDARD COSTS? MENT FOR ANY SIGNIFICANT VARIATIONS BEEN MADE? YES YES NO. IF "YES," HAS ADJUSTMENT TO ACTUAL COST OR ADJUST- 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 TO THE 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 11, ARE ANY PARTS, MATERIALS, OR FINISHED PRODUCT, KNOWN TO BE DEFECTIVE, INCLUDED IN THE INVENTORIES? YES NO. IF "YES," EXPLAIN 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 INC 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? YES NO. IF "YES," STATE METHOD OF FUNDING AND ABSORPTION OF PAST AND CURRENT PENSION SERVICE COSTS 19. STATE GENERAL POLICIES RELATING TO DEPRECIATION AND AMORTIZATION OF FIXED ASSETS; BASES, UNDERLYING POLICIES AWRITING OFF STARTING LOAD SPECIMEN 20. STATE POLICY OR PROCEDURE FOR RECORDAG 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 (d) Page 4 of Format 804–1. 23. METHOD OF RECORDING AND ABSORBING (1) GENERAL ENGINEERING AND GENERAL DEVELOPMENT EXPENSE AND (2) ENGINEERING AND DEVELOPMENT EXPENSE DIRECTLY APPLICABLE TO THE TERMINATED CONTRACT 24, TYPES AND SOURCE OF MISCELLANEOUS INCOME AND CREDITS AND MANNER OF RECORDING IN THE INCOME OR THE COST ACCOUNTS SUCH AS RENTAL OF YOUR FACILITIES TO OUTSIDE PARTIES, ETC. 25. ARE COSTS AND INCOME FROM CHANGE ORDERS SEGREGATED FROM OTHER CONTRACT COSTS AND INCOME? YESNO. IF "YES" BY WHAT METHOD? 26. ARE SETTLEMENT EXPENSES APPLICABLE TO PREVIOUSLY TERMINATED CONTRACTS EXCLUDED FROM THE ATTACHED PROPOSALS? YES NO. IF "NO" EXPLAIN 27. STATE POLICY AND PROCEDURE FOR VERIFICATION AND NEGŪTI, SPECIMEN ERLEMENTS WITH SUBCONTRACTORS AND VENDORS 28. METHOD OF COMPUTING PROFIT CLAIMED IN THE ATTACHED PROPOSAL AND REASON FOR SELECTING THE METHOD USED. FURNISH ESTIMATE OF AMOUNT OR RATE OF PROFIT IN DOLLARS OR PERCENT ANTICIPATED HAD THE CONTRACT BEEN COMPLETED 29. WHAT IS LENGTH OF TIME (production cycle) REQUIRED TO PRODUCE ONE OF THE END ITEMS FROM THE TIME THE MATERIAL ENTERS THE PRODUCTION LINE TO THE COMPLETION AS THE FINISHED PRODUCT? 30, METHOD OF ALLOCATING GENERAL AND ADMINISTRATIVE EXPENSE CERTIFICATE I HEREBY CERTIFY THAT, TO THE BEST OF MY KNOWLEDGE AND BELIEF, THE ABOVE STATEMENTS ARE TRUE AND CORRECT. WHERE THE SPACE PROVIDED FOR ANY INFORMATION IS INSUFFICIENT, ATTACH SEPARATE SCHEDULES |