Anne Has Applied for a Job with a Company That

question 83

Multiple Choice

Anne has applied for a job with a company that has a mini-medical plan.Anne is 27 years old,single,has no dependents,and is in robust health.Her family health history is excellent.Anne is an avid snow skier on advanced courses,parasailer and show jumping competitor.Which aspect of the plan would be of the MOST concern to her?

• A) Only 10 doctor visits per year are covered.
• B) Only a few prescription drugs are covered.
• C) Hospital coverage is very limited.
• D) The choice of physicians is restricted.

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Definitions:

Account Balances

The total amount of money in a financial account, calculated by adding all credits and subtracting all debits.

Expense Recognition Principle

An accounting principle that expenses should be recognized in the period in which they are incurred to produce revenues, aligning expenses with corresponding revenues.

Accounting Period

A specific time frame for which financial records are maintained and financial statements are prepared, usually annually or quarterly.

Earned

Income or revenue that has been realized through the sale of goods or services.