Which of the Following Statements Is True About the "True

question 6

Multiple Choice

Which of the following statements is true about the "true locality" rule (TLR) ?

• A)The TLR requires the court to look at the standard of care used in the exact locality of the physician.
• B)The TLR permits the court to judge the actions of a local physician against those of a physician in a community of comparable size and socioeconomic character.
• C)The TLR ignores the socioeconomic character of the physician's home base and concentrates instead on the geographical limits of a state border.
• D)The TLR permits general practitioners to be judged by one criterion and specialists by another.

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Definitions:

Statement of Cash Flows

A financial report that provides aggregate data regarding all cash inflows a company receives from its ongoing operations and external investment sources, as well as all cash outflows that pay for business activities and investments during a given period.

Indirect Method

A way of calculating cash flows for operating activities in the cash flow statement by adjusting net income for changes in non-cash items.

Operating Activities

Operating activities involve the day-to-day functions of a business directly related to its provision of goods and services.

Net Income

The total profit of a company after all expenses and taxes have been subtracted from total revenue.