CHDA
1. Alpha level: The level of Type I error that is deemed acceptable based on contextin statistical
hypothesis testing. See Type I error.
2. Alternative hypothesis: The complement of the null hypothesis that is to be tested using the
appropriate statistical test.This hypothesis typically requires someaction to be taken.
3. Ambulatory payment classification (APC): The payment unit used in the hos-pital
outpatient prospective payment system (OPPS). The classification is a re- source-based
reimbursement system.
4. Analysis: Reviewing and summarizing data for use in decision making.
5. Analysis of variance: The statistical tool used to compare more than two popu-lation means.
The null hypothesis tests that all of the population means are equal.
6. Auditing: "The performance of internal and external reviews (audits) to identifyvariations
from established baselines (for example, review of outpatient coding as compared with CMS
outpatient coding guidelines)."
7. Balanced design: An experimental design where the number of subjects in each sample
are the same for all populations sampled. The term is relevant whenperforming an analysis of
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variance or a two sample t-test.
8. Bell curve: The shape of the normal distribution. The bell pealcs at the averageand slopes
down on both sides symmetrically.
9. Binomial variable: "A variable that talces only two values (such as yes or no; alive or
dead).The probability of a yes or no is constant across all of the subjects,and the outcome of
each subject is independent of the others."
10. Case Mix Index (CMI): "The average relative weight of all cases treated at a given facility
or by a given physician, which reflects the resource intensity or clinicalseverity of a specific group
in relation to the other groups in the classification system;calculated by dividing the sum of the
weights of diagnosis-related groups for patientsdischarged during a given period by the total
number of patients discharged."
11. Centers for Medicare and Medicaid Services (CMS): "The division of the Department of
Health and Human Services that is responsible for developing healthcare policy in the United
States, for administering the Medicare program andthe federal portion of the Medicaid
program, and maintaining the procedure portionof the International Classification of Diseases,
ninth revision, Clinical Modification (ICD-9-CM) and International Classification of Diseases,
tenth revision, ProcedureCoding System (ICD-10-PCS); called the Health Care Financing
Administration (HCFA) prior to 2001."
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12. Chi squared test: A statistical test that is used to test for relationships betweencategorical
variables.The null hypothesis for this test is that there is no associationbetween the two
variables. Represented by the symbol X2 (where X is the Greek letter chi.)
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