Spring 2017 #19b
Hi,
The examiner report stated that Adj Capital = PHS - Non-Tab Discount - Tab Discount. It makes me confused cause the Wiki said that Adj Capital = PHS - Non-Tab Discount - Tab Discount on Medical only. Is this answer from examiner outdated?
Comments
As the Wiki points out, indemnity tabular discount is not subtracted out of PHS:
https://battleacts6us.ca/wiki6us/Odomirok.19-RBC#Alice.27s_4th_Day_.28An_Exam_Problem..29:~:text=Trick%3A%20In%20the,to%20correctly%20solve%3A
In this sense, the answer key of the problem is wrong. However, the problem did not specify if the given tabular discount was medical or indemnity. The solution assumes that it is medical.