The Cyberlux File

Where did the money go?

Contract value
$78.8M
CEO's stated cost
$4,700/unit
Delivered
< 400 of 2,000
Unaccounted
$37.9M
Production cost$9.40M · 11.9%
Allowable profit (DFARS, 15%)$1.41M · 1.8%
Pre-signed commissions$23.46M · 29.8%
Schmidt insider transfers$3.42M · 4.3%
Datron acquisition (Art Barter)$3.00M · 3.8%
Unaccounted for$37.91M · 48.1%
The contract should have come in around eleven million dollars at the maximum allowable profit margin under DFARS 215.404-71 Weighted Guidelines. It came in at seventy-eight point eight. This site is the inventory of the difference.
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