Which One of the Following Is Not Considered a Covered

question 34

Multiple Choice

Which one of the following is not considered a covered entity under the Health Insurance Portability and Accountability Act?

• A) Sue's Medical Billing Service: Sue works out of her home and processes the bills for the physicians in her town
• B) Radiologist who contracts with a lawyer to interpret x-ray films for the lawyers' cases
• C) The human resource department of Widget Manufacturing who manages the employees' health care benefits; Widget Manufacturing is self-insured for the employees' health care benefits
• D) Volunteer paramedics of a rural fire department

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Definitions:

Goodwill

Goodwill is an intangible asset representing the value of a company's brand, customer relationships, employee relations, and other factors not accounted for separately on the balance sheet.

Normal Rate of Return

The typical amount of profit that an investment is expected to generate, considered as a benchmark or standard for comparison.

Negative Goodwill

Occurs when a company acquires another for a price less than the fair value of its assets. It is recognized as a gain in the acquirer's income statement.