Indirect Cost typically make up the preponderance of what the DoD pays their contractors. Using illustrated examples, Robert (Bob) Williams, Professor of Contract Cost, Price, and Finance reveals the costs being paid with the application of apparently simple rates. These examples also illustrate that all rates are developed and applied on different bases that can vary by company. And that all these rates carry some distortion in allocation between services and/or programs. Presented in a DCS Lunch N Learn 7 Oct 2015, Christopher Merkel, Professor of Business Cost Estimating and Financial Management, also facilitated the event as a subject matter expert answering questions from the field in the moderator/producer role. Over 140 acquisition professionals from various functional disciplines representing all DoD services participated in the webinar.