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12 October, 15:11

Mister Plow has contracted to perform snow removal services for the city of Springfield. Record snowfall has more than doubled the time he will spend on the streets and the resources this job will require. Unfortunately, Mister Plow cannot come back to the city for more money, because the service contract is:

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  1. 12 October, 16:04
    Fixed price contract


    A fixed price contract states that price for services rendered is fixed as mentioned in the contract irrespective of time taken and resources used.

    Price cannot be revised in case effort and time has increased more than expected. In this case, Mister Plow cannot ask for more money as service contracts are fixed price contracts and terms of contract including price cannot be changed.
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