CPPC Question Help

Hi All,


On any question related to CPPC contract where the actual cost and the estimated cost are given and also the percentage is given, does the total amount re-imbursed to the seller need to be calculated on the actual cost or the estimated cost?


According to the answer on one of the sample tests, they have calculated it on the actual costs. Is that correct?


Please suggest and explain.


Thanks


Nidhi