A contract price is a total amount that is agreed upon by two parties where the project owner or client, known as the principal, pays the contractor when they complete the terms of the contract. This is according to the terms and conditions of the contract and any other modifications. Contract pricing is the process of making an agreement by two parties about the pricing or amount of the contract made. The contract price is how much money one person receives after they have provided a service or good that was outlined in the contract.

This is a very important document because aside from it should be made agreed by two parties involved, it should also be very specific document that would cover all the important matters that will involve the transaction or the contract. In making this, you don’t need to undergo the tedious process of making it from scratch. Sample Templates got your back in making all the available and needed Contract Pricing Proposal templates just for you.

10+ Contract Pricing Proposal Samples

1. Contract Pricing Proposal Template

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2. Contract Pricing Proposal

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3. Contract Pricing Proposal Cover Sheet

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4. Sample Contract Pricing Proposal

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5. Standard Contract Pricing Proposal

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6. Contract Cost Pricing Proposal

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7. Basic Contract Pricing Proposal

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8. Adequate Contract Pricing Proposal

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9. Photography Contract Pricing Proposal

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10. Planning Commission Contract Pricing Proposal

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11. Contract Pricing Fee Proposal

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What Is Contract Pricing?

An example of a contract price is when two parties enter into a contract to sell a house for the cost of $100,000. This means $100,000 is the contract price.

This is also a term that is used in taxes when it comes to calculating how much gain was realized for an installment sale. This is equal to the selling price, minus any mortgage debt the buyer assumes, as well as any liens that were collected for the seller’s equity. The gross selling price is equal to the contract when there are no mortgages that are assumed.

If a mortgage is assumed, the contract price will be the gross selling price, minus the mortgage amount. Any mortgage amount that goes over the expenses of sale and seller’s basis will also be added. Another term for a contract price is a contract sum. The contract price often includes a down payment, possibly several continuing payments, and will end with the final amount that is paid in order to close the contract.

Contracts are often used for the following:

  • Leasing
  • Mobile phones
  • Landscaping
  • Construction

It is important to analyze the contract price cost so a bad deal will not occur. Varying contracts exist to serve differing purposes. For example, a landscaping contract does not have a final date of completion or irregular expenses. Instead, the nature of the type of agreement has a payment schedule. Based on this, contract prices for landscaping are paid on a monthly basis.

On the opposite end of the spectrum, a construction job has a date for final completion and irregular expenses. The contract price will be different in this case, as it will often have continuous payments, a down payment, and a retainer when final construction is complete.

FAQs

What is Total Contract Price?

Total Contract Price means the cumulative amount of all Monthly Purchase Amounts owed under a Monthly Purchase Plan, or the Total Contract Price set forth in a Lump Sum Contract.

What is Average Contract Value?

An average contract value (ACV) designates the average monetary value a customer contributes to a company for a designated time period. It’s usually calculated as either an annual contract value (ACV) for measuring yearly subscription revenue or an average purchase value (APV) for measuring single transaction averages.

How does contract price work?

A contract price is a total amount that is agreed upon by two parties where the project owner or client, known as the principal, pays the contractor when they complete the terms of the contract. This is according to the terms and conditions of the contract and any other modifications.

Truly, it is not easy to plan your Contract Price Agreement of Proposal from the very scratch especially if you have little to  no knowledge of making it, availing the resources from the internet especially the ones that we have here in Sample Templates could make your work or task easier, more convenient and could make you work faster as you work on your next other tasks. For other template needs for your future projects, we, at Sample Templates, we got you from the start up until the very end!

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