The Provider Contract That the Danube Health Plan Has with the Viola

question 196

Multiple Choice

The provider contract that the Danube Health Plan has with the Viola Home Health Services Organization states that Danube will use a typical flat rate reimbursement arrangement to compensate Viola for the skilled nursing services it provides to Danube's plan members. A portion of the contract's reimbursement schedule is shown below: Home Health Licensed Practical Nurse (LPN) : $45 per visit or $90 per diem Home Health Registered Nurse (RN) : $50 per visit or $110 per diem Last month, an LPN from Viola visited a Danube plan member and provided 1Ѕ hours of home healthcare, and an RN from Viola visited another Danube plan member and provided 7 hours of home healthcare. The following statement(s) can correctly be made about Danube's payment to Viola for these services:

• A) Danube most likely owes $90 for the LPN's skilled nursing services and $110 for the RN's skilled nursing services.
• B) Danube's payment amount could be different from the amount called for in the reimbursement schedule if the level of care provided to one of these plan members was significantly different from the level of care normally provided by Viola's RNs and LPNs.
• C) Both A and B
• D) A only
• E) B only
• F) Neither A nor B

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Definitions:

Business Location

Refers to the physical or virtual place where a company conducts its operations or business activities.

Trade-In Allowance

A reduction in the price of a new item when an old item is given as part of the deal.

Accumulated Depreciation

The total amount of depreciation that has been recorded against a fixed asset since it was put into use.

Accumulated Depreciation

The total amount of a tangible asset's cost that has been expensed since the asset was put into use.