Management May Expropriate Wealth from Bondholders to Shareholders Through Which

question 23

Multiple Choice

Management may expropriate wealth from bondholders to shareholders through which of the following actions:

• A) take on new ventures with much greater risk than was anticipated by creditors.
• B) take on more debt to increase the returns to shareholders.
• C) issue more shares than was anticipated by creditors.
• D) answers a and b are correct.
• E) answers b and c are correct.

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Definitions:

Claims Manually

The process of submitting and processing insurance claims by hand or without the aid of automated systems.

Explanation of Benefits (EOB)

A printed description of the benefits provided by the insurer to the beneficiary; provides information to the patient about how an insurance claim from a health provider (such as a physician or hospital) was paid on his or her behalf.

Not Allowed Amount

The portion of a bill or charge that is not covered by insurance and is not the responsibility of the patient or client.

Coinsurance Co-payment Amount

The fixed percentage or amount that an insured person is responsible for paying for medical services, after the deductible is met.