Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions
Mail Us support@pass4success.com
Location US
Mob_nav_barsMENU

AHIP AHM-520 Exam - Topic 2 Question 56 Discussion

The following information was presented on one of the financial statements prepared by the Rouge health plan as of December 31, 1998: When calculating its cash-to-claims payable ratio, Rouge would correctly divide its:
B) Cash by its reported claims and its incurred but not reported claims (IBNR)
A) Cash by its reported claims only
C) Reported claims by its cash
D) Reported claims and its incurred but not reported claims (IBNR) by its cash

AHIP AHM-520 Exam - Topic 2 Question 56 Discussion

Actual exam question for AHIP's AHM-520 exam
Question #: 56
Topic #: 2
[All AHM-520 Questions]

The following information was presented on one of the financial statements prepared by the Rouge health plan as of December 31, 1998: When calculating its cash-to-claims payable ratio, Rouge would correctly divide its:

Show Suggested Answer Hide Answer
Suggested Answer: B

by Ezekiel at Aug 03, 2022, 01:18 AM

Limited Time Offer

25%

Off

Get Premium AHM-520 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

0/2000 characters
Submit Cancel
Jamal
10 months ago
C is totally wrong, it’s all about the ratio!
upvoted 0 times
...
Maynard
11 months ago
Wait, are we really counting IBNR? Seems off.
upvoted 0 times
...
Stefany
11 months ago
I agree with B, that makes the most sense.
upvoted 0 times
...
Wai
11 months ago
I thought it was A, just reported claims?
upvoted 0 times
...
Arlene
11 months ago
Definitely B, you need to include IBNR for accuracy.
upvoted 0 times
...
Remona
11 months ago
I think we definitely divide cash by reported claims only, but I’m not 100% confident. It seems like IBNR might complicate things unnecessarily.
upvoted 0 times
...
Kristin
11 months ago
I’m a bit confused about whether we should just use reported claims or include IBNR too. I feel like I need to double-check my notes on this.
upvoted 0 times
...
Kristeen
11 months ago
I remember a similar question where we had to consider IBNR, so I feel like option B makes the most sense here.
upvoted 0 times
...
Karan
12 months ago
I think the cash-to-claims payable ratio should include both reported claims and IBNR, but I'm not entirely sure if that's how we calculated it in practice.
upvoted 0 times
...
Dean
12 months ago
Hmm, I'm not too familiar with masking policies in SQL. I'll have to think this one through carefully.
upvoted 0 times
...
Malcom
12 months ago
This is a good test of my knowledge on financial statements. I'll need to apply my understanding of the definitions and classifications to determine which option is not a non-current asset. I'm feeling pretty confident I can figure this out.
upvoted 0 times
...
Darrin
12 months ago
Okay, let me review the options again. Picoseconds, microseconds, nanoseconds, or milliseconds? I think nanoseconds sounds right, but I'll double-check my notes to be sure.
upvoted 0 times
...

Save Cancel