The Organization Responsible for Determining the Type, Amount, and Scope

question 6

Multiple Choice

The organization responsible for determining the type, amount, and scope of services covered by Medicaid is:

• A) the Centers for Medicare and Medicaid Services (CMS).
• B) the federal government.
• C) each state government.
• D) contracted insurance carriers.

---

Definitions:

Order Cost

The total expense incurred in making and processing an order, including any procurement, delivery, and handling costs.

Holding Cost

The expenses associated with storing unsold goods or materials, including warehousing, insurance, and depreciation.

Manufacturing Cost

The total expense related to the production of goods, including raw materials, labor, and overhead costs.

Lot Size

The quantity of goods processed, transported, or ordered at one time, affecting costs, efficiency, and inventory management.