@Jamaal Valentine Yep, it's up to you on how you choose to answer.
That's the beauty of the question, it's wide open. Like a case interview for consulting, it allows the interviewer to assess your thought process.
I will evaluate what you say and how you say it, as well as what you do not talk about.
Side note: I actually had this question asked in an interview. It was for a USAID/OPIC/Millennium Challenge Corporation type of agency with a very small contracting shop, where I was applying for the lead role. My interview panel was populated by 1 person from the program office, 1 person from finance, and 2 people from legal. Seeing as how their knowledge of the contracting process was limited (they confirmed this assumption during our pre-interview small talk) I kept my answer pretty high level. I also did extensive research on the agency and had a good idea of what they procured and how, thus tailored my answer to incorporate that information. No need to nerd out on the design-bid-build process if the contracting shop buys everything off of Schedule 70.