What is a potential consequence of incorrectly calculating the markup percentage on a drug?

Inaccurately calculating the markup percentage on a drug can lead to inaccurate total billing. The markup percentage is critical in determining the selling price of medications, and any miscalculation can either inflate or deflate the final cost charged to the patient or the insurance provider. If the markup is set too high, it can result in overbilling, leading to customer disputes and potential legal repercussions. Conversely, if the markup is too low, the pharmacy may not cover its costs, leading to financial losses. Accurate calculation ensures that the pharmacy recovers its costs and is compensated fairly for the dispensing of medications, making it a crucial aspect of pharmacy billing practices.