Typical Payment Calculation - Random Sampling for Extrapolated Deductions

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WORK REQUIREMENTS
RSED
RESPONSE CLASSIF- COST  QUALITY
SAMPLE PAYMENT
ICATION  ACCNTNG WORK
TIME
CALCULATION
a. Price for work requirement
\$3600  \$600  \$600  \$600
\$600
\$600
\$600
\$600
b. population
c. Price per service (a/b)
\$6
\$1
\$1
\$12
60
60
60
60
d. No. of services sampled
4
2
6
5
e. No. in sample rejected
3.33%
6.66%
10.00%
8.33%
f. Observes defect rate (e/d)
0.90%
1.17%
1.38%
1.31%
2.43%
5.49%
8.62%
7.02%
h.  Defect rate (f-g) **
i. Extrapolated defects
14
51
42
32
(b x h as whole number)
2
j. Defects obs. outside sample
2
2
3
0
7
7
N/A
k. Rework by contractor
0
4
l.  Rework by Govt. or Others
N/A
0
10
35
25
m.  Net no. services to deduct
51
at scheduled price (i-k-l)***
\$120.00
\$306.00
\$35.00
\$25.00
n.  Extrapolated deduction
(c x m)
o. Deduct Govt. rework
\$0.00  \$0.00
\$0.00 \$138.00
Actual cost **** or
\$0.00  \$0.00
\$0.00  \$0.00
at scheduled price (c x l)
\$0.70  \$0.00
\$4.80  \$0.00
p. IDS Ct rewk [lO%xcx(e+j-l)]
\$0.00  \$0.70
\$0.00 \$27.60
q.  ID's Govt. rewk (20% x 0)
\$0.00  \$0.00
\$0.00  \$0.00
\$574.30 \$6914.40
\$3289.20 \$564.30
s. Total payment
(a-n-o-m-r)
Total payment for routine service calls = \$11,342.20
*
**
Defect rate for comparison with MADR.
*** Cannot be less than zero.
**** Actual cost are the amounts paid to Government personnel
(wage, retirement, and fringe benefits) plus materials or the actual
costs of other means by which the work is accomplished.
TYPICAL PAYMENT CALCULATION - RANDOM SAMPLING FOR EXTRAPOLATED DEDUCTIONS
D-4