If a Cost Pool Is Homogeneous, the Cost Allocations Using

question 47

True/False

If a cost pool is homogeneous, the cost allocations using that pool will be the same as they would be if costs of each individual activity in that pool were allocated separately.

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Definitions:

Payment

The exchange of funds or items for a service or product.

Balance Due

The amount of money owed on an account or invoice after payments have been applied.

Billing System

A combination of software and procedures that is used to issue and manage invoices and financial transactions for goods or services.

Cycle Billing

A system that sends invoices to groups of patients every few days, spreading the work of billing all patients over the month while billing each patient only once.