Various activities at Husang Corporation, a claims processing centre that provides service to several large insurance companies,

Question:

Various activities at Husang Corporation, a claims processing centre that provides service to several large insurance companies, are listed below:

Activity
a.  Employees check claims against computer records to determine eligible expenses.

b.  Computer systems to make claim processing more efficient are designed by IT specialist~.

c.  Claims are sorted by type when received: dental, health, prescriptions.

d.  Monthly invoices for services provided are sent out to regular customers.

e.  Claims received by mail are opened and checked for completeness.

f  A set of randomly selected processed claims are inspected for quality.

g.  Diversity training is provided to all employees in the company.


Required:

1. Classify each activity as unit-level, batch-level, product-level, customer-level, or organization-sustaining.

2. For each activity, provide an example of one transaction driver and one duration driver that might be used in Husang Corporation's ABC system.

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Related Book For  book-img-for-question

Managerial Accounting

ISBN: 9781259275814

11th Canadian Edition

Authors: Ray H Garrison, Alan Webb, Theresa Libby

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