Which of the Following Statements Is Not True About Liabilities

question 199

Multiple Choice

Which of the following statements is not true about liabilities?

• A) Liabilities are debts owed to outsiders.
• B) Account titles of liabilities often include the term "payable."
• C) Cash received before a service is performed creates a liability.
• D) Liabilities include accumulated depreciation.

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Definitions:

Diagnosis Code

A code assigned to a diagnosis based on a standardized classification system, used for billing, reporting, and statistical purposes in healthcare.

Treatment Code

A system of codes used to identify specific medical treatments and procedures for billing and documentation purposes.

Insurance Claim

A formal request by a policyholder to an insurance company for coverage or compensation for a covered loss or policy event.

Hospitalized Patients

Individuals who are admitted to a hospital for treatment and observation.