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lending money or (2) acquiring receivables or other rights to
receive payment from other persons.
Petitioner's hospitals make frequent use of various medical
and surgical supply items and pharmaceuticals (hereinafter
sometimes collectively referred to as medical supplies) in
providing medical care to patients. Many of the medical supplies
are used directly on a patient by a physician in the performance
of a medical procedure, and others are used by nurses,
attendants, and other medical personnel in the treatment of the
patient. The quantities of items used, administered, or consumed
and the timing of such use, administration, or consumption are
determined by the physician or hospital staff, on some occasions
after consultation with the patient.
Medical supplies may be applied to, implanted in, or
otherwise administered to, furnished to, or used in connection
with the treatment of patients. Examples of these medical
supplies include casts, crutches, canes, walkers, bandages,
sutures, splints, skin staples, various implants such as joint
replacements, pacemakers, and heart valves, orthopedic devices,
and physical and occupational therapy items. These items often
leave the hospital with the patient, although some items such as
sutures, splints, skin staples, and implants can be removed from
the patient only by a physician or other trained medical
personnel.
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