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1. The Center for Medicare and Medicaid Services (CMS) perfonned an audit of a medical facility that billed their Medicare patients for senrices.
1. The Center for Medicare and Medicaid Services (CMS) performed an audit of a medicalfacility that billed their Medicare patients for services. There were five different procedurecodes utilized by the medical facility: E1390, E0570, E0431, K0004, and E0601.
A random sample was drawn from the medical facility’s files and an audit was performed on 157 patients’ claims. The data represent the dollar amounts of those claims. Using Minitab, or another computer software package, perform descriptive statistics on this data set. The descriptive statistics should include the following: mean,median, mode, range, variance, standard deviation, coefficient of variation, skewness and kurtosis. Perform a histogram and boxplot with the software. Your analysis should include answers to the following questions:
a. Was the mean affected by extreme scores? Explain
b. Which measure of central tendency best represents this data set and why?
c. Calculate a 95% confidence interval with the Minitab (or alternate) software and extrapolate what the lower limit of the confidence interval of claim payments would be if there is 8,834 Medicare claims.
d. Test the hypothesis that the population mean of claims is 134.35 or significantly different from that amount using a non-directional one-sample t-test and an alpha of .05. Using the same information, test whether the population mean is less than that amount using a lower-tailed directional one-sample t-test. Has your decision changed? Even if you obtained the same result, why would it differ?
In all of your answers to the questions above, report the scores for each measureand defend your answers with the descriptive statistics and what you know about themeasures. See CMS Data
