A Probable Loss Contingency Is Reasonably Estimated Within a Range

question 32

Multiple Choice

A probable loss contingency is reasonably estimated within a range of possible amounts.No amount within the range is a better estimate than any other amount within the range.The amount that should be accrued should be

• A)zero
• B)the lower amount of the range
• C)the upper amount of the range
• D)the average amount within the range

Differentiate between complications, co-morbidities, and their influences on patient care and coding.

Recognize the data elements collected in the Uniform Hospital Discharge Data Set (UHDDS) and their relevance to coding and patient demographics.

Know the healthcare payment systems like Diagnosis-Related Groups (DRG) and Inpatient Prospective Payment System (IPPS), and understand their significance in coding.

Understand the scale of agricultural sales in the U.S. and identify the contribution of large farms.

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Definitions:

Total Fixed Costs

Financial obligations that do not fluctuate with the amount of goods made or sold, for instance, rent, salaries, and insurance coverage.

Unit Fixed Costs

Unit Fixed Costs are the costs that do not change with the volume of production and are allocated per unit based on the total production quantity.

Total Variable Cost

Charges that fluctuate in direct relation to the volume of production or output.

Merchandising Company

A Merchandising Company is a business that purchases finished products and sells them at a profit, without altering the products themselves.