A Certain HMO Is Attempting to Show the Benefits of Managed

Multiple Choice

A certain HMO is attempting to show the benefits of managed care to an insurance company. The HMO believes that certain types of doctors are more cost-effective than others. One theory is that
Certification level is an important factor in measuring the cost-effectiveness of physicians. To
Investigate this, the HMO obtained independent random samples of 29 physicians from each of the
Three certification levels-Board certified (C) ; Uncertified, board eligible (E) ; and Uncertified, board
Ineligible (I) -and recorded the total per-member, per-month charges for each (a total of 87
Physicians) . In order to compare the mean charges for the three groups, the data will be subjected
To an analysis of variance. Give the degrees of freedom appropriate for conducting the ANOVA
F-test.

A) numerator $\mathrm { df } = 3$ , denominator $\mathrm { df } = 84$
B) numerator $\mathrm { df } = 2$ , denominator $\mathrm { df } = 84$
C) numerator $\mathrm { df } = 85$ , denominator $\mathrm { df } = 3$
D) numerator $\mathrm { df } = 85$ , denominator $\mathrm { df } = 2$