Key Terms

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To pass the PMP exams, you will need to memorize these terms and their definitions. For maximum value, create your flashcards based on these definitions and review them daily. The definitions can be found within this chapter and in the glossary.

Bid	Direct costs	Proposal
Bidder conferences	Evaluation criteria	Qualified seller list
Centralized contracting	Fixed-Price contracts	Quote
Contract	Force majeure	Request for Proposal
Contract administration	Indirect costs	Request for Quote
Contract change control system	Invitation for Bid	“Should cost” estimates
Contract closeout	Letter of Intent	Single source
Contract file	Make-or-buy analysis	Sole source
Cost-reimbursable contracts	Procurement	Statement of Work
Decentralized contracting	Procurement audits	Time and Materials
	Procurement Management Plan

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