An analysis of government contract terminations
Hughes, Thomas William.
Duke, James Robert Jr.
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The purpose of this thesis is to investigate if the Federal Government could realize cost savings through an analysis of contracts that have been terminated. A sampling of contracts from various Federal Government agencies was gathered and divided into two categories : terminations for financial reasons and terminations for non-financial reasons Terminations for financial reasons were analyzed with a bankruptcy prediction model, while a qualitative analysis was performed on terminations for non-financial reasons. From the bankruptcy prediction model analysis, it was apparent that the model was only somewhat useful as a predictor of termination for default. It was shown from the qualitative analysis that the Federal Government was predominantly at fault in terminations for convenience (95% of the analysis sample) and that 66% of the terminations for convenience in the sample were for reasons that the Federal Government could have controlled.
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