A Self-Insurance Activity That Is Accounted for in an Internal

question 3

Multiple Choice

A self-insurance activity that is accounted for in an Internal Service Fund pays $365,000 in claims during the year. Because the Internal Service Fund is a proprietary fund, the claims will be reported on the statement of revenues, expenses, and change in net position as

• A) An operating expense.
• B) A nonoperating expense.
• C) A contra-revenue to premiums charged.
• D) An other financing use.

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Definitions:

Standardized Format

A consistent and uniform structure used in tests or assessments to ensure comparability and reliability of results.

Efficient

Achieving maximum productivity with minimum wasted effort or expense.

DSM-5

The fifth edition of the Diagnostic and Statistical Manual of Mental Disorders, a standard classification of mental disorders used by mental health professionals.

Insurance And Billing Information

Details related to an individual's health insurance coverage and the process of submitting and processing claims for medical services rendered.