Which One of the Following Characteristics Does Not Distinguish Financial

question 33

Multiple Choice

Which one of the following characteristics does not distinguish financial leases from operating leases?

• A)financial lease analysis compares leasing to borrowing.
• B)financial leases are not cancelable.
• C)operating leases involve real physical assets.
• D)operating leases do not extend over the economic life of the asset.

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Definitions:

Allowed Fee

The maximum charge that an insurance plan agrees to cover for a specific medical service or procedure.

Medicare Beneficiary

An individual who is eligible to receive health care benefits under the Medicare program, typically because of age or disability.

ABN

An abbreviation often used for "Advanced Beneficiary Notice," which is a notice given to patients under Medicare to convey that Medicare may not provide coverage for certain procedures or services.

Formulary

An insurance plan’s list of approved prescription medications.