HFMA Test 7: Contracts | Questions and Correct Answers | Latest Update 2024/2025

HFMA Test 7: Contracts | Questions and Correct Answers | Latest Update 2024/2025 Purpose of Contracts - Answer -Purpose Contracts will be used to define terms between two or more parties for the provision of a service or product. In health care, contracts are used for: Health plan or payer agreements. Construction projects. Collection services. Maintenance on equipment. Leasing space. Employment of contracted staff, and a variety of other itemsFor a contract to be valid, individual must do three things - Answer - Valid Contract For a contract to be valid, two (or more) individuals must: 1. Agree to the provisions of the contract, 2. Agree to the price (or promise), 3. Be legally competent or authorized to enter into the contract, and the contract must be for services and products that are legal Proposals vs Contracts - Answer -Proposals vs Contracts Contracts may begin as proposals or offers to provide services. However, the proposal is not the contrac