Determine Whether the Following Statements Are Cases of Insurance (A)

question 60

Multiple Choice

Determine whether the following statements are cases of insurance (a) abuse or (b) fraud. You may use the two choices as many times as needed.

-Charging excessively for services and supplies.

• A)Abuse
• B)Fraud

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Definitions:

Profitability Index

A financial tool used to evaluate the desirability of an investment, calculated as the present value of future cash flows divided by the initial investment cost.

Cash Inflows

Money received by a business from its operational, financing, or investment activities.

Investment Projects

Initiatives undertaken by a business or organization to invest in new assets, technology, or resources with the expectation of generating future benefits.

Total-Cost Approach

A pricing strategy that considers all costs associated with producing and delivering a product or service to determine its selling price.