Suppose a Case Management Program Is Established to Reduce Rehospitalization

question 2

Multiple Choice

Suppose a case management program is established to reduce rehospitalization rates in a hospital and that those rates drop dramatically once the new program is established. We can conclude that:​

• A) ​research has demonstrated an effective approach to practice.
• B) causality cannot be inferred because time order was not established.​
• C) another event occurring during the time of the study might explain away the change.​
• D) the absence of covariation threatens the internal validity of any causal inferences.​

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Definitions:

Manufacturing Overhead Budget

An estimation of all manufacturing costs, excluding direct materials and direct labor, planned for a specific period.

Direct Labor-Hours

The cumulative hours that employees engaged in the manufacturing process have completed.

Variable Overhead Rate

The portion of overhead costs that varies directly with production volume, calculated as variable overhead costs divided by a certain measure of activity (e.g., labor hours or machine hours).

Fixed Manufacturing Overhead

Indirect production costs that remain constant regardless of the level of production, such as salaries, rent, and insurance.