What Type of contract the contract bears virtually all the financial risk associated with procurement?

The type of contract that bears virtually all the financial risk associated with procurement is typically a fixed-price contract. In this arrangement, the seller agrees to deliver goods or services at a predetermined price, regardless of the actual costs incurred. This places the financial risk on the seller, as they must manage their expenses to ensure profitability. Consequently, any cost overruns are absorbed by the seller rather than the buyer.