CMAA Financial Management and Accounts Receivable 1 — Questions and Answers
Question 1: What is a 'copayment' in the context of medical billing?
- The full cost of a medical service
- A fixed amount a patient pays at the time of service (Correct answer)
- The deductible amount owed annually
- A balance billed after insurance pays
Correct answer: A fixed amount a patient pays at the time of service
A copayment is a fixed dollar amount a patient pays at the time of service, as determined by their insurance plan.
Question 2: What is the purpose of a 'day sheet' in a medical office?
- To schedule patient appointments
- To record daily financial transactions (Correct answer)
- To document patient diagnoses
- To track employee attendance
Correct answer: To record daily financial transactions
A day sheet is a daily log of all financial transactions including charges, payments, and adjustments.
Question 3: Which term describes the amount a patient must pay out-of-pocket before insurance begins covering costs?
- Premium
- Copayment
- Deductible (Correct answer)
- Coinsurance
Correct answer: Deductible
A deductible is the annual amount a patient must pay out-of-pocket before their insurance plan begins paying.
Question 4: What does 'accounts receivable' (A/R) represent in a medical practice?
- Money owed to vendors
- Money owed to the practice by patients and insurers (Correct answer)
- Staff payroll expenses
- Equipment purchase records
Correct answer: Money owed to the practice by patients and insurers
Accounts receivable represents the total money owed to the medical practice by patients and insurance companies for services rendered.
Question 5: A patient's insurance pays 80% of a $200 claim after the deductible is met. What is the patient's coinsurance responsibility?
- $20
- $40 (Correct answer)
- $80
- $160
Correct answer: $40
If insurance pays 80%, the patient owes the remaining 20% of $200, which equals $40 coinsurance.
Question 6: What is a 'write-off' in medical office accounting?
- A payment made to a vendor
- An amount removed from accounts receivable that cannot be collected (Correct answer)
- A refund issued to a patient
- A charge added to a patient's balance
Correct answer: An amount removed from accounts receivable that cannot be collected
A write-off is an amount removed from accounts receivable when it is determined to be uncollectible, such as a contractual adjustment.
CMAA Financial Management and Accounts Receivable 1
What is a 'copayment' in the context of medical billing?