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The Harry Hines Medical Center (HHMC) is classified as a large urban hospital by Medicare...

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Accounting

The Harry Hines Medical Center (HHMC) is classified as a large urban hospital by Medicare with an area wage index of 1.0810 and the National Average Standardized Amounts used by Medicare to calculate reimbursement for DRGs are given as follows: Classification Labor Nonlabor Large Urban $2,500 $1,100 Other 2,250 1,050 DRG 419 (Laparoscopic Cholecystectomy W/O CC/MCC) has a DRG weight of 1.2619 and a mean LOS (length of stay) of 3.0 days. Suppose the Hospital DRG Rate (in the previous question) was $3,000. How much reimbursement would HHMC receive for a case classified into DRG 419?

a. $11,357

b. $3,786

c. $3,600

d. $1,262

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