Under Option A you should be using the Shorter Schedule of Cost Components for assessing the Defined Cost of compensation events.
You should be applying the %s stated in the main contract Contract Data Part 2 to for the Defined Cost and since the work is subcontracted applying the subcontract fee (from CD2) to the Defined Cost.
You should be applying the %s stated in the main contract Contract Data Part 2 to for the Defined Cost and since the work is subcontracted applying the subcontract fee (from CD2) to the Defined Cost.