Which determinations must be made prior to exercising an option?

Which determinations must be made prior to exercising an option?

• A. Funds are available, the requirement is valid, it is the most advantageous method, the option was synopsized unless exempt, and a D&F that the option is in accordance with the contract terms and conditions has been written.
• B. Only the initial price justification is needed.
• C. No determinations are required.
• D. The option may be exercised at the discretion of the contracting officer.

Answer: (A)