If a Physician Decides Not to Extend Credit to a Patient

question 59

Multiple Choice

If a physician decides not to extend credit to a patient, what must be done according to the Fair Credit Reporting Act?

• A) Call the patient and tell him his bill must be paid in full immediately
• B) Inform the patient in writing why credit was denied
• C) Explain to the patient that you will be unable to extend credit
• D) Avoid discussing the issue of credit with the patient to avoid embarrassment
• E) Report the patient's lack of creditworthiness to the state's credit monitoring service

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Definitions:

Profit

The financial gain realized when the amount of revenue gained from a business activity exceeds the expenses, costs, and taxes needed to sustain it.

Marginal Efficiency

The additional benefit received from consuming or producing one more unit of a good or service.

Capital

Refers to any financial asset, including cash, equipment, and buildings, used in production of goods or services.

Investment Project

A project undertaken by a company or an individual in expectation of generating future financial returns.