Which Person Is Responsible for Paying the Charges

question 22

Multiple Choice

Which person is responsible for paying the charges?

• A) enrollee
• B) guarantor
• C) patient
• D) payer

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Definitions:

Traditional Costing Method

A costing method that allocates overhead costs to products based on a predetermined rate, usually associated with direct labor hours or machine hours.

Direct Labor-Hours

A measurement of the actual amount of production work done by employees, expressed in hours, not involving indirect labor.

Overhead Assigned

The allocation of overhead costs to specific products or cost centers within a company.

Materials Handling

The moving, protection, storage, and control of materials and products throughout manufacturing, warehousing, and distribution.