Final answer:
The categorization of an assisted living facility as either Institutional or Residential occupancy is based on several factors, including the level of care and the occupants' ability to respond to an emergency; the statement is false.
Step-by-step explanation:
The determination of whether an assisted living facility is considered an Institutional occupancy or a Residential occupancy is not based solely on the number of occupants receiving care, but rather on various factors, including the level of care provided, the ability of occupants to respond to an emergency, and the facility's operational characteristics. The statement that it is solely determined by the number of occupants receiving care is false. Regulations often consider the nature of the occupancy, which includes both the number of occupants and their care requirements.