Common use of Allowable Costs/Cost Principles Clause in Contracts

Allowable Costs/Cost Principles. 1. Indirect costs, except fringe benefits, are unallowable (NGR 5-1, Chapter 5). 2. Individual employee compensation comprises a significant portion of total costs charged to CA appendices. The auditor should give particular attention to the allocability of these costs. The distribution of individual employee compensation to projects must follow applicable federal cost principles, NGR 5-1, and the terms and conditions of the MCA and in each particular appendix. Therefore, the auditor’s testing should include tests of the time and effort reporting system to support the distribution of compensation costs (NGR 5-1, Chapter 5).

Allowable Costs/Cost Principles. 1. Indirect costs, except fringe benefits, are unallowable (NGR 5-1, Chapter 5). 2. Individual employee compensation comprises a significant portion of total costs charged to CA appendicesAppendices. The auditor should give particular attention to the allocability of these costs. The distribution of individual employee compensation to projects must follow applicable federal Federal cost principles, NGR 5-1, and the terms and conditions of the MCA and in each particular appendix. Therefore, the auditor’s testing should include tests of the time and effort reporting system to support the distribution of compensation costs (NGR 5-1, Chapter 5).

Allowable Costs/Cost Principles. 1. Indirect costs, except fringe benefits, are unallowable (NGR 5-1, Chapter 5). 2. Individual employee compensation comprises a significant portion of total costs charged to CA appendicesAppendices. The auditor should give particular attention to the allocability of these costs. The distribution of individual employee compensation to projects must follow applicable federal Federal cost principles, NGR 5-1, and the terms and conditions of the MCA and in each particular appendixAgreement Appendices. Therefore, the auditor’s testing should include tests of the time and effort reporting system to support the distribution of compensation costs (NGR 5-1, Chapter 5).

Allowable Costs/Cost Principles. 1. Indirect costs, except fringe benefits, are unallowable (NGR 5-1, Chapter 5). 2. Individual employee compensation comprises a significant portion of total costs charged to CA appendices. The auditor should give particular attention to the allocability of these costs. The distribution of individual employee compensation to projects must follow applicable federal Federal cost principles, NGR 5-1, and the terms and conditions of the MCA and in each particular appendixAgreement Appendices. Therefore, the auditor’s testing should include tests of the time and effort reporting system to support the distribution of compensation costs (NGR 5-1, Chapter 5).