AHIP Health Plan Finance and Risk Management AHM-520 Question # 81 Topic 2 Discussion

AHIP Health Plan Finance and Risk Management AHM-520 Question # 81 Topic 2 Discussion

AHM-520 Exam Topic 2 Question 81 Discussion:
Question #: 81
Topic #: 2

The Eclipse Health Plan is a not-for-profit health plan that qualifies under the Internal Revenue Code for tax-exempt status. This information indicates that Eclipse


A.

Has only one potential source of funding: borrowing money


B.

Does not pay federal, state, or local taxes on its earnings


C.

Must distribute its earnings to its owners-investors for their personal gain


D.

Is a privately held corporation


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