In Most Health Plans, the Formulary System Is Developed and Managed

question 4

Multiple Choice

In most health plans, the formulary system is developed and managed by a P&T committee. The ;P&T committee is responsible for;

• A) evaluating and selecting drugs for inclusion in the formulary
• B) overseeing the manufacture, distribution, and marketing of prescription drugs
• C) certifying the medical necessity of expensive, potentially toxic, or nonformulary drugs
• D) all of the above

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Definitions:

Labor Prices

The wages or compensation paid to employees for their labor or work performed.

Profit-maximizing Firm

A company that seeks to achieve the highest possible profit through its operations, focusing on revenue enhancement and cost reduction.

Units of Labor

Refers to the measurement of labor force involvement, typically in terms of person-hours or person-years.

Inputs Hiring

The process of acquiring the necessary resources, such as labor and raw materials, required for the production of goods or services.