DRGs Affect Length of Stay Because Hospitals Can and Do

question 4

Short Answer

DRGs affect length of stay because hospitals can and do discharge patients to their home or long-term care (LTC) "quicker and ______."

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Definitions:

Manufacturing Overhead Costs

Manufacturing overhead costs include all the indirect costs associated with producing goods, such as utilities, rent for production facilities, and maintenance expenses.

Machine Hours

A measurement of production time, tracking the amount of time machines are operated in the manufacturing process.

Direct Labor Hours

Time spent by workers directly involved in the production of goods or services.

Departmental Overhead Rates

Different rates used to allocate overhead costs to products or job functions, based on department-specific activities.