As Time Passes, Fixed Assets Other Than Land Lose Their

question 59

Multiple Choice

As time passes, fixed assets other than land lose their capacity to provide useful services. To account for this decrease in usefulness, the cost of fixed assets is systematically allocated to expense through a process called

• A) equipment allocation
• B) depreciation
• C) accumulation
• D) matching

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Definitions:

Taxonomy Code

A unique identifier for healthcare providers used primarily for billing and administrative purposes.

Medical Specialty

A branch of medical practice focused on a specific group of patients, diseases, skills, or philosophy, such as cardiology or dermatology.

Third-party Payer

An entity (other than the patient or healthcare provider) that pays for healthcare services, typically an insurance company.

Recovery Audit

The process of reviewing financial transactions and records to ensure compliance with policies and to recover overpayments or incorrect charges.