Which of the Following Form of Fraud Occurs When a Doctor

question 1

Multiple Choice

Which of the following form of fraud occurs when a doctor or healthcare professional bills Medicare/Medicaid for a service that was not provided?

• A) unbundling
• B) misrepresenting services
• C) upcoding
• D) phantom treatment

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Definitions:

Net Profit

The amount of money left after all operating expenses, taxes, and interest have been deducted from total revenue.

Absorption Costing Profit

The profit calculated under absorption costing, which includes both variable and fixed manufacturing costs in the cost of a product.

Variable Costing Profit

The profit calculated using the variable costing method, which considers only variable expenses for unit cost calculation, highlighting contribution margin.

Fixed Overhead

Refers to the indirect costs of production that do not change with the volume of output, such as rent, salaries, and insurance.