Which of the Following Is a Privately Owned and Managed

question 15

Multiple Choice

Which of the following is a privately owned and managed health-insurance provider?

• A) Commercial insurance
• B) Managed care
• C) Health maintenance organization
• D) Preferred provider organization

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Definitions:

Fixed Expenses

Costs that do not vary with the level of production or sales, remaining constant over a period of time.

Variable Expenses

Charges that adjust directly with the volume of production or sales, encompassing costs related to raw materials and direct labor.

Fixed Expenses

Costs that do not change with the level of production or sales within a certain range and for a specific period.

Absorption Costing

An accounting method that includes all manufacturing costs - direct materials, direct labor, and both variable and fixed manufacturing overhead - in the cost of a product.