Which of the following is included in the DRG system calculation?

A) Labor costs
B) Nonlabor costs
C) Both labor and nonlabor costs
D) Neither labor nor nonlabor costs

DRG System

A system used in healthcare to classify hospital cases into groups according to diagnosis, treatment, and length of stay, for the purpose of payment and data analysis.

Labor Costs

The total sum of all wages paid to employees, as well as the costs of employee benefits and payroll taxes incurred by an employer.

Nonlabor Costs

Expenses related to the operations of a business or project that do not include direct costs of labor, such as materials or overhead.