Prior to Implementation of a Prospective Payment System for Acute

question 9

Multiple Choice

Prior to implementation of a prospective payment system for acute care hospital inpatient stays, reimbursement was generated on a __________ basis, which issued payment based on daily rates.

• A) capitated
• B) per diem
• C) prospective
• D) res gestae

Understand the effect of tax implications on cash flows from capital investments.

Understand the concepts of payback method and time value of money in capital budgeting decisions.

Identify the role of preference decisions in the context of capital budgeting.

Comprehend that shorter payback periods do not necessarily indicate higher profitability.

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