The loss ratio factor is 833 currently what is the maximum, Finance Basics

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The loss ratio factor is 833 currently what is the maximum

Question:

You are reviewing a Progress Payment Request on a $2,500,000 contract with a 90% progress payment rate. The Total Cost Incurred to Date is $2,000,000 and the Total Estimated additional Cost to Complete is $1,000,000.

The Loss Ratio Factor is 83.3%. Currently, what is the maximum total progress payment amount that you can authorize?

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Finance Basics: The loss ratio factor is 833 currently what is the maximum

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Finance Basics: The loss ratio factor is 833 currently what is the maximum

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