The Major Characteristic of an HMO Is

question 71

Multiple Choice

The major characteristic of an HMO is

• A)emphasis on acute medical treatment.
• B)medical treatment is provided for a fixed annual payment.
• C)freedom to see nonmember physicians.
• D)medical treatment is provided on a fee-for-service basis.

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Definitions:

Raw Materials Purchases

The total cost incurred from buying raw materials that are to be used in the production process.

Standard Costs

The predetermined costs of manufacturing a single unit or a number of product units during a specific period under current or anticipated operating conditions.

Gallons

A volume measurement primarily utilized in the United States for quantifying liquid substances.

Raw Materials Inventory

Refers to the total cost of all the materials that are not yet processed and used in production, stored in a warehouse or inventory.