What is the primary focus of cost centers within a healthcare organization?

Prepare for the HFMA Business of Health Care Exam. Study with flashcards and multiple-choice questions, each with hints and explanations. Ace your exam with confidence!

The primary focus of cost centers within a healthcare organization is to manage indirect costs and control expenses. Cost centers are specific departments or units within a healthcare facility that do not directly generate revenue but incur costs in the process of providing services. Their purpose is to track spending and ensure that costs are aligned with the organization's financial goals. By carefully managing these indirect costs, healthcare organizations can improve their overall financial performance, allocate resources more effectively, and maintain service quality. This focus on cost management is crucial in a sector where maintaining financial viability while delivering high-quality care is essential.

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