A dump truck operator enters a contract to supply fill dirt for $75 per load. This type of contract is a _________

The contract between the dump truck operator and the buyer for supplying fill dirt at a rate of $75 per load is classified as a unit price contract. This type of contract is structured around a set price for each unit of service or material provided. In this case, the unit is defined as one load of fill dirt.

Unit price contracts are commonly used in construction and supply work because they allow for clear pricing based on quantities, making it easier for both parties to estimate costs and manage budgets. As the quantity of loads changes, the total price will vary accordingly, reflecting the situation and needs over the project duration.

This type of contract differs from fixed price contracts, where the price remains constant regardless of changes in quantity or scope, and cost-plus contracts, where the contractor is reimbursed for actual costs plus a fee. Time and materials contracts, on the other hand, charge based on the actual time spent and materials used, rather than a set price per unit. Therefore, the nature of the pricing structure and the emphasis on units supplied make it clear that this is a unit price contract.