CPC® — Certified Professional Coder — Questions and Answers
Question 1: When a procedure note states 'difficult dissection due to prior surgery, procedure took 2.5× normal time,' which modifier best captures the additional work?
- -22 (Correct answer)
- -51
- -62
- -80
Correct answer: -22
Modifier -22 (Increased Procedural Services) is used when the work is substantially greater than typically required, and documentation must support the claim.
Question 2: The term 'bilateral' means:
- On both sides (Correct answer)
- At the center
- On one side only
- Above and below
Correct answer: On both sides
Bilateral means pertaining to or affecting both sides of the body.
Question 3: Which ICD-10-CM 7th character extension indicates an initial encounter for an injury?
- G
- A (Correct answer)
- D
- S
Correct answer: A
The 7th character 'A' designates an initial encounter, meaning the patient is receiving active treatment for the condition.
Question 4: A claim is returned because the ICD-10-CM diagnosis code does not support medical necessity for the CPT procedure billed. What is the coder's first action?
- Write off the claim as a denial
- Change the procedure code to match the diagnosis
- Submit an appeal immediately
- Review the clinical documentation to find a more specific or additional supporting diagnosis (Correct answer)
Correct answer: Review the clinical documentation to find a more specific or additional supporting diagnosis
The coder should review documentation for a diagnosis that accurately reflects and supports the medical necessity of the procedure performed.
Question 5: In the context of E/M coding, what does the term 'undiagnosed new problem with uncertain prognosis' represent in MDM?
- Moderate complexity (Correct answer)
- High complexity
- Straightforward complexity
- Low complexity
Correct answer: Moderate complexity
An undiagnosed new problem with uncertain prognosis is classified as moderate complexity in the 'problems addressed' element of MDM.
Question 6: What is the significance of the ICD-10-PCS code system?
- To track prescription refills
- To classify inpatient procedures performed in hospitals (Correct answer)
- To monitor outpatient services
- To track outpatient visits
Correct answer: To classify inpatient procedures performed in hospitals
The ICD-10-PCS (International Classification of Diseases, 10th Revision, Procedure Coding System) is a comprehensive system specifically designed for classifying inpatient procedures performed in hospitals. It provides a highly detailed and standardized method for reporting surgical, medical, and diagnostic procedures. This system is crucial for tracking healthcare utilization, evaluating procedure outcomes, and ensuring accurate reimbursement for hospital services.
Question 7: Qualifying circumstance code 99140 applies to anesthesia complicated by:
- Deliberate hypothermia induction
- Emergency conditions (Correct answer)
- Controlled hypotension techniques
- Extreme patient age (under 1 or over 70 years)
Correct answer: Emergency conditions
Code 99140 is reported for anesthesia complicated by emergency conditions, adding one qualifying unit to the total anesthesia formula.
Question 8: When coding an obstetric case, the default assumption about the trimester should be:
- First trimester if unspecified
- The trimester is not required for obstetric coding
- Third trimester if the patient is near term
- The trimester documented in the medical record (Correct answer)
Correct answer: The trimester documented in the medical record
The trimester should be coded based on documentation in the medical record; coders should not assume a trimester.
Question 9: What is the role of modifiers in procedure coding?
- To track medication usage
- To provide additional context for a procedure or service (Correct answer)
- To reduce costs
- To monitor patient progress
Correct answer: To provide additional context for a procedure or service
Modifiers are two-character alphanumeric codes appended to CPT or HCPCS codes to indicate that a service or procedure has been altered by specific circumstances but not changed in its definition. They provide crucial additional information, such as the anatomical location, the number of providers, or whether a service was bilateral, without requiring a new code. This ensures more precise billing and accurate representation of the clinical scenario.
Question 10: What does the medical term 'dyspnea' mean?
- Difficulty swallowing
- Painful urination
- Abnormal heartbeat
- Difficulty breathing (Correct answer)
Correct answer: Difficulty breathing
Dyspnea means difficulty breathing or shortness of breath.
Question 11: A Local Coverage Determination (LCD) differs from a National Coverage Determination (NCD) in that an LCD:
- Is issued by HHS and applies nationally
- Applies only to inpatient hospital services
- Is developed by a Medicare Administrative Contractor for its jurisdiction (Correct answer)
- Overrides NCDs when they conflict
Correct answer: Is developed by a Medicare Administrative Contractor for its jurisdiction
LCDs are coverage policies developed by Medicare Administrative Contractors (MACs) that apply only within their specific geographic jurisdiction, unlike NCDs which apply nationally.
Question 12: What does a placeholder character 'X' serve in ICD-10-CM coding?
- Allows future expansion and fills empty character positions (Correct answer)
- Indicates an unknown diagnosis
- Marks a code as unspecified
- Indicates a sequela
Correct answer: Allows future expansion and fills empty character positions
The placeholder 'X' is used to allow future code expansion and to fill empty character positions in a code.
Question 13: A procedure has an asterisk (*) next to it in the CPT manual. What does this historically indicate?
- A surgical package does not apply and the procedure is billed as separate components (Correct answer)
- The code is a new code for the current year
- The code was revised from the previous edition
- The code requires a modifier when billed with an E/M service
Correct answer: A surgical package does not apply and the procedure is billed as separate components
In older CPT editions, an asterisk indicated a starred procedure, meaning the surgical package rules did not apply and components were billed separately; this concept informs current coding practices.
Question 14: A Recovery Audit Contractor (RAC) identifies overpayments by reviewing Medicare claims. What is the RAC's payment model?
- State-funded grant
- Flat annual fee from CMS
- Contingency fee based on overpayments identified (Correct answer)
- Per-claim review fee
Correct answer: Contingency fee based on overpayments identified
RACs are paid on a contingency basis, receiving a percentage of the overpayments (and underpayments) they identify and recover.
Question 15: An EOB lists reason code CO-45 with a balance of $0 after the adjustment. What does CO-45 indicate?
- The service was not covered
- The patient's deductible was applied
- The claim was a duplicate
- Charges exceed the payer's fee schedule or maximum allowable amount (Correct answer)
Correct answer: Charges exceed the payer's fee schedule or maximum allowable amount
CARC CO-45 indicates that the charge exceeds the payer's fee schedule or maximum allowable amount, and the difference is a contractual write-off.
Question 16: The guideline 'Code to the highest degree of certainty' applies primarily to which care setting?
- Outpatient and physician office (Correct answer)
- Long-term care
- Emergency department only
- Inpatient hospital
Correct answer: Outpatient and physician office
For outpatient/physician office visits, coders must code to the highest degree of certainty documented, without coding unconfirmed diagnoses.
Question 17: For outpatient hospital coding, the principal procedure is defined as:
- The first procedure listed in the operative note
- The procedure most related to the reason for the visit or principal diagnosis (Correct answer)
- The procedure with the highest CPT RVU
- The most expensive procedure performed
Correct answer: The procedure most related to the reason for the visit or principal diagnosis
In outpatient coding, the principal procedure is the one most closely related to the reason for the encounter or the principal diagnosis.
Question 18: What is the definition of a 'new patient' for E/M coding purposes?
- A patient establishing care for the first time in their life
- A patient with a new insurance plan
- A patient who has never been seen at the facility
- A patient who has not received professional services from the physician or group within the past 3 years (Correct answer)
Correct answer: A patient who has not received professional services from the physician or group within the past 3 years
A new patient is one who has not received any professional services from the physician/qualified health care professional or another in the same group of the same specialty within the past 3 years.
Question 19: Which CPT section contains codes for reporting radiological supervision and interpretation performed by a physician?
- Medicine (90281-99199)
- Radiology (70010-79999) (Correct answer)
- Evaluation and Management (99201-99499)
- Surgery (10004-69990)
Correct answer: Radiology (70010-79999)
Radiological supervision and interpretation codes fall within the Radiology section (70010-79999) of CPT.
Question 20: Which of the following best describes 'unbundling' in procedure coding?
- Splitting a single claim across multiple dates of service
- Using an unlisted code instead of an established CPT code
- Billing multiple CPT codes for procedures that should be reported as a single comprehensive code (Correct answer)
- Reporting an add-on code without its primary code
Correct answer: Billing multiple CPT codes for procedures that should be reported as a single comprehensive code
Unbundling is the inappropriate practice of billing separate codes for components of a procedure that CPT designates should be reported as one comprehensive code.
Question 21: Modifier -22 is used when a procedure requires:
- Unusual anesthesia circumstances
- Work performed by two physicians
- Substantially more work than typically required (Correct answer)
- Less work than usual
Correct answer: Substantially more work than typically required
Modifier -22 indicates unusual procedural services where the work is substantially greater than typically required, and additional documentation must support the modifier.
Question 22: What is the global surgery package period for a major surgical procedure?
- 10 days
- 30 days
- 0 days
- 90 days (Correct answer)
Correct answer: 90 days
Major surgical procedures have a 90-day global period that includes all normal post-operative care before and after the surgery.
Question 23: What is the purpose of a 'late effect' or sequela code (7th character 'S') in ICD-10-CM?
- Indicates the condition is due to a drug reaction
- Identifies residual conditions that remain after the acute phase of an illness or injury (Correct answer)
- Used for subsequent encounters during active treatment
- Indicates the condition has resolved
Correct answer: Identifies residual conditions that remain after the acute phase of an illness or injury
The 7th character 'S' (sequela) identifies residual conditions that remain after the acute phase of the illness or injury has resolved.
Question 24: Modifier -52 is appended to a CPT code when:
- The patient had a complication during the procedure
- A procedure was completely discontinued
- Two surgeons operated on the same patient
- A service was reduced or less extensive than described (Correct answer)
Correct answer: A service was reduced or less extensive than described
Modifier -52 indicates that a service was reduced or less extensive than the full descriptor, and reimbursement is typically reduced.
Question 25: Which modifier is used when a procedure is performed on an infant weighing less than 4 kg?
- -22
- -52
- -63 (Correct answer)
- -53
Correct answer: -63
Modifier -63 (Procedure Performed on Infants less than 4 kg) indicates the significant increase in complexity and physician work due to the patient's extremely small size.
Question 26: What is the role of coding compliance programs?
- To reduce costs
- To monitor healthcare worker performance
- To track insurance claims
- To ensure legal and ethical standards are followed in coding (Correct answer)
Correct answer: To ensure legal and ethical standards are followed in coding
Coding compliance programs are designed to establish and enforce policies and procedures that ensure all medical coding activities adhere to relevant laws, regulations, and ethical standards. These programs help prevent fraud and abuse, reduce the risk of penalties, and promote accurate and consistent coding practices. By fostering a culture of compliance, they protect both the healthcare organization and its patients.
Question 27: Which body system includes the trachea, bronchi, and alveoli?
- Cardiovascular system
- Lymphatic system
- Digestive system
- Respiratory system (Correct answer)
Correct answer: Respiratory system
The respiratory system includes the trachea, bronchi, bronchioles, and alveoli for gas exchange.
Question 28: A physician counsels a patient for 30 minutes of a 40-minute office visit. Can time be used to select the E/M level?
- No, time can only be used when counseling exceeds 50% under old guidelines
- No, counseling time is excluded from E/M time calculations
- Yes, under the 2021 guidelines, total encounter time can always be used (Correct answer)
- Yes, but only for established patients
Correct answer: Yes, under the 2021 guidelines, total encounter time can always be used
Under the 2021 AMA guidelines, the provider may use total time on the date of the encounter to select the E/M level for office visits.
Question 29: The suffix '-ectomy' indicates which type of surgical procedure?
- Incision into
- Repair of
- Visual examination
- Surgical removal (Correct answer)
Correct answer: Surgical removal
The suffix '-ectomy' means surgical removal, as in appendectomy (removal of the appendix).
Question 30: Under the 2021 AMA E/M guidelines for office visits, what primarily drives code selection?
- Number of organ systems reviewed
- Number of diagnoses documented
- Medical decision making (MDM) or total time on the date of encounter (Correct answer)
- History and physical examination components
Correct answer: Medical decision making (MDM) or total time on the date of encounter
The 2021 AMA guidelines base office/outpatient E/M code level on either medical decision making (MDM) or total time on the date of the encounter.
Question 31: A patient presents with a new problem that requires additional workup. What level of MDM complexity does this represent?
- High complexity
- Moderate complexity (Correct answer)
- Low complexity
- Straightforward
Correct answer: Moderate complexity
A new problem to the provider that requires additional workup meets the moderate complexity level for the 'number and complexity of problems' element of MDM.
Question 32: A physician bills CPT 99213 with modifier -25 and also bills a minor procedure on the same day. What does the modifier -25 signify?
- The patient had multiple diagnoses
- The E/M was a significant, separately identifiable service above and beyond the usual pre/post-procedure work (Correct answer)
- The procedure was staged
- The E/M service was performed by a different physician
Correct answer: The E/M was a significant, separately identifiable service above and beyond the usual pre/post-procedure work
Modifier -25 indicates that on the day of a procedure, a significant and separately identifiable evaluation and management service was also performed.
Question 33: A coder sees 'discussed findings with patient's family' in the documentation. For E/M purposes, this time is:
- Countable only for inpatient encounters
- Never counted toward E/M time
- Countable only if patient is present
- Countable on the date of service with documentation (Correct answer)
Correct answer: Countable on the date of service with documentation
Time spent on the date of service — including counseling family with or without the patient present — counts toward total E/M time when documented.
Question 34: Which E/M service category is used when a physician reviews a patient's record and provides recommendations without seeing the patient?
- Care management service
- Interprofessional telephone/internet consultation (Correct answer)
- Transitional care management
- Consultation
Correct answer: Interprofessional telephone/internet consultation
Interprofessional telephone/internet/electronic health record consultations (99446–99452) allow a specialist to provide recommendations without a face-to-face patient encounter.
Question 35: An Explanation of Benefits (EOB) shows a claim was denied for 'duplicate billing.' The coder confirms the service was only billed once. What should the coder do?
- Accept the denial and write off the balance
- Re-submit the claim without changes
- File an appeal with documentation proving the service was rendered only once (Correct answer)
- Bill the patient for the full amount
Correct answer: File an appeal with documentation proving the service was rendered only once
When a payer incorrectly denies a claim as duplicate, the provider should appeal with supporting documentation demonstrating the claim is not a duplicate.
Question 36: Modifier -50 is used to report which type of procedure?
- A procedure that requires assistant surgeon services
- A procedure performed in two separate operative sessions
- A procedure performed by two surgeons
- A bilateral procedure performed during the same operative session (Correct answer)
Correct answer: A bilateral procedure performed during the same operative session
Modifier -50 indicates a bilateral procedure performed during the same operative session on symmetric structures.
Question 37: Which modifier is used when a physician decides to perform surgery during an E/M visit on the day before or the day of the surgery?
- Modifier -24
- Modifier -57 (Correct answer)
- Modifier -25
- Modifier -51
Correct answer: Modifier -57
Modifier -57 indicates the E/M service resulted in the initial decision to perform a major surgery (global period 90 days).
Question 38: A physician performs an excision of a 2.2 cm malignant lesion on the back with 0.5 cm margins. What is the correct CPT code diameter used for code selection?
- 2.7 cm
- 3.2 cm (Correct answer)
- 0.5 cm
- 2.2 cm
Correct answer: 3.2 cm
For excision of malignant lesions, the size is calculated as the lesion diameter plus the required margins on each side: 2.2 + 0.5 + 0.5 = 3.2 cm.
Question 39: Modifier -79 is used to identify a procedure performed during the post-operative period that is:
- Related to the original procedure
- Unrelated to the original procedure (Correct answer)
- A repeat procedure by the same physician
- A staged procedure
Correct answer: Unrelated to the original procedure
Modifier -79 indicates an unrelated procedure or service performed by the same physician during the post-operative period.
Question 40: A payer's remittance advice shows claim adjustment reason code (CARC) 4. What does this typically indicate?
- Service not covered by plan
- Service denied because the patient is not eligible for coverage on the date of service (Correct answer)
- The procedure code is inconsistent with the modifier
- The service is not covered unless submitted via a referral
Correct answer: Service denied because the patient is not eligible for coverage on the date of service
CARC 4 indicates the service was denied because the patient was not eligible for the plan on the date the service was rendered.
Question 41: Which type of wound closure is classified as 'complex repair' in CPT?
- Closure with simple sutures in a single layer
- Closure of a wound less than 2.5 cm
- Closure involving debridement, extensive undermining, or retention sutures (Correct answer)
- Closure requiring steri-strips only
Correct answer: Closure involving debridement, extensive undermining, or retention sutures
Complex repair involves one or more of these elements: debridement, extensive undermining, layer closure, or use of retention sutures, beyond what simple or intermediate repairs require.
Question 42: When a procedure is performed during the global surgical period of a prior procedure, and the new service is unrelated, which modifier should be used?
- -79 (Correct answer)
- -78
- -58
- -24
Correct answer: -79
Modifier -79 is used for an unrelated procedure or service by the same physician during the postoperative period.
Question 43: Which chapter in ICD-10-CM contains codes for factors influencing health status (Z codes)?
- Chapter 19
- Chapter 20
- Chapter 18
- Chapter 21 (Correct answer)
Correct answer: Chapter 21
Chapter 21 of ICD-10-CM contains Z codes (Z00–Z99) for factors influencing health status and contact with health services.
Question 44: What is the correct sequencing rule for coding outpatient visits?
- Always code the most severe diagnosis first
- Code the chronic condition first
- Code confirmed diagnoses and suspected diagnoses equally
- Code the reason for the visit (first-listed diagnosis) (Correct answer)
Correct answer: Code the reason for the visit (first-listed diagnosis)
For outpatient visits, the first-listed diagnosis is the condition chiefly responsible for the services provided.
Question 45: When a physician provides care to a Medicare patient in a skilled nursing facility (SNF), which place of service code is used on the claim?
- 21
- 11
- 31 (Correct answer)
- 22
Correct answer: 31
Place of service code 31 designates a skilled nursing facility, and using the correct POS code affects both claim processing and reimbursement rates.
Question 46: Why are procedure codes used in insurance claims?
- To specify services and treatments for reimbursement (Correct answer)
- To track doctor visits
- To monitor patient compliance
- To track prescriptions
Correct answer: To specify services and treatments for reimbursement
Procedure codes, such as CPT and HCPCS codes, are essential in insurance claims because they provide a standardized language to describe the specific medical services, treatments, and procedures a patient received. Insurers use these codes to determine the medical necessity of services and calculate appropriate reimbursement. Accurate coding ensures that healthcare providers are properly compensated for the care they deliver.
Question 47: Which CPT code range covers office or other outpatient E/M services for established patients?
- 99221–99223
- 99201–99205
- 99211–99215 (Correct answer)
- 99241–99245
Correct answer: 99211–99215
CPT codes 99211–99215 are used for established patient office or other outpatient E/M services.
Question 48: What correctly describes the conversion factor in anesthesia billing?
- A geographic adjustment percentage applied to time units
- A formula component that calculates qualifying circumstance unit values
- A multiplier that converts procedure time into base unit equivalents
- A dollar amount set by the payer that converts total anesthesia units into a payment amount (Correct answer)
Correct answer: A dollar amount set by the payer that converts total anesthesia units into a payment amount
The conversion factor is a payer-specific dollar amount that is multiplied by the total anesthesia units (B+T+M) to determine the final reimbursement amount.
Question 49: Which modifier is used when a procedure is performed by a resident under the supervision of a teaching physician?
- -GC (Correct answer)
- -80
- -AS
- -62
Correct answer: -GC
Modifier -GC indicates a service performed in part by a resident under the direction of a teaching physician, required for Medicare billing.
Question 50: Which CPT modifier indicates a surgical procedure was performed on the right side of the body?
- -51
- -LT
- -50
- -RT (Correct answer)
Correct answer: -RT
Modifier -RT (Right Side) is appended to indicate the procedure was performed on the right side of the body.
Question 51: What is the purpose of coding audits?
- To evaluate the efficiency of procedures
- To ensure correct code assignment and reduce errors (Correct answer)
- To monitor patient behavior
- To track treatment outcomes
Correct answer: To ensure correct code assignment and reduce errors
Coding audits are conducted to systematically review medical records and assigned codes to verify their accuracy and compliance with coding guidelines and regulations. Their primary purpose is to identify any errors in code assignment, ensure that services are appropriately documented and coded, and reduce the risk of fraud, waste, and abuse. This process helps maintain data integrity and optimize reimbursement.
Question 52: Which of the following is NOT one of the three elements of medical decision making (MDM)?
- Number and complexity of problems addressed
- Number of organ systems examined (Correct answer)
- Amount and complexity of data reviewed
- Risk of complications and/or morbidity or mortality
Correct answer: Number of organ systems examined
Number of organ systems examined is part of the physical examination component, not MDM; MDM consists of problems, data, and risk.
Question 53: A hospital submits claims for services that were never provided to collect Medicare reimbursement. Under the False Claims Act, the government may recover up to how many times the actual damages, plus penalties?
- Two times (double damages)
- Ten times (denary damages)
- Three times (treble damages) (Correct answer)
- Five times (quintuple damages)
Correct answer: Three times (treble damages)
The False Claims Act provides for treble (triple) damages plus civil monetary penalties per false claim, making it the government's most powerful tool against healthcare fraud.
Question 54: For E/M time-based coding, what must be documented to support billing based on total time?
- Time spent reviewing the electronic health record only
- Counseling time that exceeds 50% of the visit
- Only the face-to-face time with the patient
- Total time on the date of the encounter including all activities performed by the provider (Correct answer)
Correct answer: Total time on the date of the encounter including all activities performed by the provider
Under the 2021 guidelines, total time includes all time spent by the provider on the date of the encounter, not just face-to-face time.
Question 55: What does the instructional note 'Code also' in ICD-10-CM indicate?
- The code listed must always be sequenced first
- The condition must be confirmed before coding
- The code cannot be used as a principal diagnosis
- An additional code should be assigned if the condition exists (Correct answer)
Correct answer: An additional code should be assigned if the condition exists
A 'Code also' note instructs the coder to assign an additional code if the associated condition is present.
Question 56: Which plane divides the body into left and right halves?
- Transverse plane
- Sagittal plane (Correct answer)
- Frontal plane
- Coronal plane
Correct answer: Sagittal plane
The sagittal (midsagittal) plane divides the body into left and right halves.
Question 57: What is the role of the coding specialist in billing procedures?
- To monitor treatment progress
- To manage insurance claims
- To ensure accurate coding and proper billing (Correct answer)
- To track patient behavior
Correct answer: To ensure accurate coding and proper billing
The coding specialist plays a pivotal role in billing procedures by accurately translating documented medical services and diagnoses into standardized codes. Their expertise ensures that the correct CPT, HCPCS, and ICD-10 codes are assigned, which is fundamental for proper claim submission and reimbursement. This accuracy prevents billing errors, reduces claim denials, and maintains compliance with payer and regulatory requirements.
Question 58: When a provider discovers they have received an overpayment from Medicare, what is the required action under the ACA 60-day rule?
- No action is required if the amount is under $1,000
- Wait until the next annual audit to disclose the overpayment
- Offset future claims to recover the overpayment
- Report and return the overpayment within 60 days of identifying it (Correct answer)
Correct answer: Report and return the overpayment within 60 days of identifying it
Under the ACA 60-day rule, providers must report and return identified Medicare or Medicaid overpayments within 60 days of identification to avoid False Claims Act liability.
Question 59: Under HIPAA's minimum necessary standard, when disclosing PHI for treatment purposes between treating providers, the standard:
- Does not apply — treating providers may share complete records (Correct answer)
- Requires patient authorization before any sharing
- Limits sharing to information from the past 12 months only
- Always applies and limits disclosure to the minimum needed
Correct answer: Does not apply — treating providers may share complete records
HIPAA explicitly exempts disclosures for treatment purposes between treating providers from the minimum necessary standard, allowing complete clinical information sharing to support patient care.
Question 60: In ICD-10-CM, external cause codes (V, W, X, Y codes) are used to:
- Describe how an injury or health condition occurred (Correct answer)
- Replace the injury diagnosis code
- Report hospital-acquired conditions only
- Identify the principal diagnosis for injuries
Correct answer: Describe how an injury or health condition occurred
External cause codes describe how and where an injury occurred and are reported in addition to the injury code.
Question 61: What is an insurance claim form?
- A document submitted to an insurer for reimbursement
- A treatment summary (Correct answer)
- A patient progress report
- A prescription
Correct answer: A treatment summary
An insurance claim form can be considered a type of treatment summary because it itemizes the medical services, procedures, and diagnoses provided to a patient during a specific encounter. While its primary purpose is to request reimbursement from an insurer, the form effectively summarizes the care delivered, allowing the insurance company to understand the scope of treatment for payment processing.
Question 62: A coder notices the claim form lists the rendering provider's NPI in Box 24J but the billing provider's NPI is missing from Box 33a on the CMS-1500. What is the likely outcome?
- The claim will be denied for medical necessity
- The claim will be rejected for missing required billing provider information (Correct answer)
- The claim will process normally
- The payer will auto-populate the billing NPI
Correct answer: The claim will be rejected for missing required billing provider information
Box 33a requires the billing provider's NPI, and its absence is a common reason for claim rejection before adjudication.
Question 63: What is the purpose of the National Correct Coding Initiative (NCCI) in claim validation?
- To certify medical coders at the national level
- To assign diagnosis codes to inpatient stays
- To prevent improper payment of procedures that should not be billed together (Correct answer)
- To establish fee schedules for all CPT codes
Correct answer: To prevent improper payment of procedures that should not be billed together
NCCI edits are CMS-developed code pairs that identify procedures which should not be billed together because one is considered a component of the other.
Question 64: Which CPT code range covers anesthesia services?
- 70000–79999
- 00100–01999 (Correct answer)
- 10000–19999
- 90000–99999
Correct answer: 00100–01999
Anesthesia CPT codes are found in the range 00100–01999, organized by anatomical site of the surgical procedure.
Question 65: What is the purpose of medical coding audits?
- To monitor treatment costs
- To ensure accurate coding and compliance (Correct answer)
- To evaluate patient satisfaction
- To track insurance claims
Correct answer: To ensure accurate coding and compliance
Medical coding audits serve to systematically review coded medical records against documentation and established coding guidelines. Their primary purpose is to verify the accuracy of code assignment, identify any discrepancies or errors, and ensure full compliance with all relevant regulations and payer policies. This proactive measure helps prevent financial losses, reduce claim denials, and mitigate the risk of fraud and abuse.
Question 66: How does accurate procedure coding benefit healthcare providers?
- By reducing patient visits
- By ensuring reimbursement, minimizing audits, and ensuring compliance (Correct answer)
- By tracking patient behavior
- By monitoring healthcare worker performance
Correct answer: By ensuring reimbursement, minimizing audits, and ensuring compliance
Accurate procedure coding directly impacts a healthcare provider's financial stability. Correct codes lead to proper and timely reimbursement from insurance companies, preventing claim denials and revenue loss. Furthermore, precise coding reduces the likelihood of audits by payers, which can be costly and time-consuming, and ensures the provider remains compliant with complex healthcare regulations.
Question 67: When an operative report is dictated but not yet transcribed, a coder should:
- Use an unlisted procedure code as a placeholder
- Wait for the complete, signed operative report before coding (Correct answer)
- Code from the surgical schedule or verbal report
- Code from the pre-operative diagnosis listed in the chart
Correct answer: Wait for the complete, signed operative report before coding
Coding must be based on complete, authenticated documentation; coders should wait for the signed operative report rather than coding from incomplete sources.
Question 68: In ICD-10-CM, the abbreviation 'NEC' stands for:
- Needs electronic coding
- No established criteria
- Not elsewhere classifiable (Correct answer)
- Not entirely confirmed
Correct answer: Not elsewhere classifiable
NEC means 'not elsewhere classifiable' and is used when there is no more specific code available.
Question 69: Modifier 23 is appended to an anesthesia code when:
- A procedure that normally requires local or no anesthesia requires general anesthesia due to unusual circumstances (Correct answer)
- The total anesthesia time exceeds two hours
- Anesthesia services are provided by two anesthesiologists simultaneously
- Anesthesia is provided for a bilateral procedure
Correct answer: A procedure that normally requires local or no anesthesia requires general anesthesia due to unusual circumstances
Modifier 23 (Unusual Anesthesia) is used when a procedure that would typically require only local or no anesthesia requires general anesthesia because of the patient's condition.
Question 70: When validating an outpatient hospital claim, which code set is used for reporting diagnoses?
- CPT Category III codes
- ICD-10-CM (Correct answer)
- HCPCS Level II
- ICD-10-PCS
Correct answer: ICD-10-CM
ICD-10-CM is used to report diagnoses on all outpatient claims, including hospital outpatient, physician office, and ambulatory surgery center claims.
Question 71: A physician performs a flexible sigmoidoscopy and a colonoscopy during the same session. How should these be coded?
- Both codes reported with modifier -51 on the lesser procedure
- Only the sigmoidoscopy, as it was performed first
- Only the colonoscopy, as it is the more extensive procedure encompassing the sigmoid (Correct answer)
- Both codes reported with modifier -59
Correct answer: Only the colonoscopy, as it is the more extensive procedure encompassing the sigmoid
A colonoscopy includes examination through the entire colon to the cecum, which encompasses the sigmoid; when both are performed, only the more comprehensive colonoscopy is reported.
Question 72: What does the term 'coordination of benefits' (COB) mean in health insurance?
- The process of appealing a denied claim
- A process to determine which payer pays first when a patient has multiple insurance plans (Correct answer)
- A process for calculating patient deductibles
- The method used to calculate provider reimbursement rates
Correct answer: A process to determine which payer pays first when a patient has multiple insurance plans
Coordination of benefits (COB) determines the order in which multiple health insurance plans pay claims so that total payments do not exceed 100% of the claim.
Question 73: A patient is admitted due to dehydration caused by chemotherapy. Which condition is sequenced first?
- The underlying cancer site
- The adverse effect of the chemotherapy drug
- The dehydration (Correct answer)
- The malignancy
Correct answer: The dehydration
When admission is due to a complication such as dehydration, that complication is sequenced as the principal diagnosis.
Question 74: Which modifier is appended to an E/M code when a significant, separately identifiable E/M service is provided on the same day as a procedure?
- Modifier -51
- Modifier -59
- Modifier -25 (Correct answer)
- Modifier -57
Correct answer: Modifier -25
Modifier -25 indicates a significant, separately identifiable E/M service was provided on the same day as a procedure.
Question 75: CPT code 99024 is used to report:
- An extended postoperative visit requiring additional E/M documentation
- A postoperative follow-up visit included in the global package (no charge) (Correct answer)
- A telemedicine follow-up after surgery
- A new patient office visit during the postoperative period
Correct answer: A postoperative follow-up visit included in the global package (no charge)
CPT 99024 is a no-charge code used to report a postoperative follow-up visit that is included in the global surgical package, allowing tracking without separate reimbursement.
Question 76: Which statement about anesthesia code 99135 (controlled hypotension) is correct?
- It is a qualifying circumstance code reported in addition to the primary anesthesia code (Correct answer)
- It replaces the primary anesthesia CPT code for the procedure
- It is only used when the patient's physical status is P4 or P5
- It is reported instead of time units when hypotension is induced
Correct answer: It is a qualifying circumstance code reported in addition to the primary anesthesia code
Code 99135 is a qualifying circumstance add-on code reported alongside the primary anesthesia code, adding one unit to the formula for cases requiring deliberate hypotension.
Question 77: What does the medical abbreviation 'SOB' stand for?
- Signs of breakdown
- Shortness of breath (Correct answer)
- Severity of bruising
- Severity of bleeding
Correct answer: Shortness of breath
SOB stands for shortness of breath, a common symptom documented in medical records.
Question 78: What does the prefix 'poly-' mean in medical terminology?
- One
- Many or much (Correct answer)
- Half
- None
Correct answer: Many or much
The prefix 'poly-' means many or much, as in polydipsia (excessive thirst).
Question 79: Epidural anesthesia administered for obstetric labor falls under which CPT code range?
- 99100–99140
- 01200–01274
- 01960–01969 (Correct answer)
- 10000–19999
Correct answer: 01960–01969
Obstetric anesthesia codes, including epidurals and spinals for labor and delivery, are found in the 01960–01969 range near the end of the anesthesia section.
Question 80: Which body cavity contains the heart and lungs?
- Cranial cavity
- Abdominal cavity
- Thoracic cavity (Correct answer)
- Pelvic cavity
Correct answer: Thoracic cavity
The thoracic (chest) cavity contains the heart, lungs, and major blood vessels.
Question 81: What is the primary purpose of the anesthesia base unit value assigned to each CPT code?
- To indicate the patient's physical status classification
- To calculate the total duration of anesthesia administration
- To reflect the inherent complexity and risk of providing anesthesia for a specific procedure, independent of time (Correct answer)
- To specify which type of anesthesia is required for the procedure
Correct answer: To reflect the inherent complexity and risk of providing anesthesia for a specific procedure, independent of time
Base units represent the fixed complexity, skill, and risk associated with a specific procedure's anesthesia, remaining constant regardless of how long the case takes.
Question 82: Modifier -62 is used when two surgeons each perform distinct parts of a procedure. This is called:
- Assistant-at-surgery
- Team surgery
- Teaching surgery
- Co-surgery (Correct answer)
Correct answer: Co-surgery
Modifier -62 indicates co-surgery, where two surgeons perform distinct parts of a single reportable procedure and each bills with modifier -62.
Question 83: An anesthesiologist who medically supervises more than 4 concurrent anesthesia procedures reports modifier:
- AA
- QK
- QY
- AD (Correct answer)
Correct answer: AD
Modifier AD is used when an anesthesiologist medically supervises more than 4 concurrent anesthesia procedures, which typically limits reimbursement to 3 base units per case.
Question 84: What is the role of the ICD-10-CM guidelines in medical coding?
- To track prescription usage
- To monitor patient health
- To provide instructions for coding diagnoses and conditions (Correct answer)
- To monitor health insurance coverage
Correct answer: To provide instructions for coding diagnoses and conditions
The ICD-10-CM (International Classification of Diseases, 10th Revision, Clinical Modification) guidelines provide comprehensive instructions and rules for accurately assigning diagnosis codes. These guidelines ensure consistency and specificity when coders translate medical diagnoses, symptoms, and conditions documented in patient records into standardized alphanumeric codes. Proper application of these guidelines is crucial for accurate data collection, epidemiological studies, and appropriate reimbursement.
Question 85: Discharge day management services (99238–99239) are differentiated by:
- Complexity of medical decision making
- The number of diagnoses at discharge
- Total time spent on the final day (Correct answer)
- Whether the patient is admitted to observation or inpatient
Correct answer: Total time spent on the final day
Hospital discharge day management codes are differentiated by total time: 99238 for 30 minutes or less, 99239 for more than 30 minutes.
Question 86: Which formula is used to calculate anesthesia reimbursement?
- Base units + (Time units × Conversion factor)
- (Time units + Modifying units) × Base rate
- (Base units × Time units) + Modifying units
- (Base units + Time units + Modifying units) × Conversion factor (Correct answer)
Correct answer: (Base units + Time units + Modifying units) × Conversion factor
The standard anesthesia payment formula is (B + T + M) × CF, where B=base units, T=time units, M=modifying units, and CF=the payer's conversion factor.
Question 87: What is the purpose of a National Coverage Determination (NCD) issued by CMS?
- Determine whether Medicare covers a specific service nationally (Correct answer)
- Define coding guidelines for new procedures
- Establish medical necessity criteria for state Medicaid programs
- Set fee schedule amounts for CPT codes
Correct answer: Determine whether Medicare covers a specific service nationally
An NCD is a CMS policy decision determining whether Medicare will cover a particular item or service across the entire country.
Question 88: What is a claim denial in medical billing?
- An approval for payment
- A document sent to the patient
- A refusal to pay a claim
- A request for additional treatment (Correct answer)
Correct answer: A request for additional treatment
While typically a refusal to pay, a claim denial can sometimes indirectly lead to a 'request for additional treatment' in specific scenarios. For example, if a claim is denied because the initial treatment was deemed insufficient or inappropriate by the payer, it might necessitate a revised treatment plan and a request for further services to address the patient's condition effectively. This interpretation links the denial to a subsequent clinical action.
Question 89: Which Medicare audit program is specifically designed to measure the overall accuracy of Medicare fee-for-service payments on a national level by reviewing a statistically valid random sample of claims?
- ZPIC/UPIC
- MAC prepayment review
- CERT (Correct answer)
- RAC
Correct answer: CERT
The Comprehensive Error Rate Testing (CERT) program measures the improper payment rate for Medicare FFS by reviewing a statistically valid random sample of claims paid during a given period.
Question 90: A patient undergoes arthroscopic surgery of the knee; the surgeon also performs an arthroscopic chondroplasty during the same session. How is this coded?
- Both arthroscopic procedures; modifier -59 may apply per payer (Correct answer)
- The chondroplasty only, as it is the more complex procedure
- Only the primary arthroscopic procedure
- Both arthroscopic procedures with modifier -51 on the secondary
Correct answer: Both arthroscopic procedures; modifier -59 may apply per payer
When multiple arthroscopic procedures are performed in the same joint during the same session, both are coded; modifier -59 or an XS modifier may be required based on payer edits.
Question 91: How are signs and symptoms coded in ICD-10-CM when a definitive diagnosis has been established?
- They are always coded regardless of the definitive diagnosis
- They are coded first before the definitive diagnosis
- They are never coded once a diagnosis is confirmed
- They are coded separately if they are not integral to the definitive diagnosis (Correct answer)
Correct answer: They are coded separately if they are not integral to the definitive diagnosis
Signs and symptoms that are not routinely associated with a confirmed diagnosis may be coded separately.
Question 92: The Resource-Based Relative Value Scale (RBRVS) used by Medicare is based on which three components?
- Complexity, risk, and duration of service
- Physician work, practice expense, and malpractice expense (Correct answer)
- Diagnosis complexity, patient age, and geographic location
- Procedure time, facility cost, and drug cost
Correct answer: Physician work, practice expense, and malpractice expense
The RBRVS consists of physician work RVUs, practice expense RVUs, and malpractice expense RVUs, each adjusted by a geographic practice cost index (GPCI).
Question 93: Which compliance document outlines the specific obligations a healthcare provider must meet as part of a settlement with the OIG following a fraud investigation?
- Compliance Program Guidance
- HIPAA Business Associate Agreement
- Local Coverage Determination
- Corporate Integrity Agreement (Correct answer)
Correct answer: Corporate Integrity Agreement
A Corporate Integrity Agreement (CIA) is a legal contract between the OIG and a provider settling a fraud case, specifying mandatory compliance obligations for a set period.
Question 94: Under CPT guidelines, a 'separate procedure' designation means the code should be:
- Reported only when performed independently and not as part of a larger procedure (Correct answer)
- Always billed with modifier -59
- Reported only for outpatient services
- Bundled automatically with all surgical codes
Correct answer: Reported only when performed independently and not as part of a larger procedure
A 'separate procedure' in parentheses means that code is only reported when the service is performed independently, not as part of a more comprehensive procedure.
Question 95: A physician documents 'SOAP note completed.' Which element of documentation is missing that is required for E/M coding?
- Date of service
- Medical decision making or time (Correct answer)
- Patient's name
- Time spent with patient
Correct answer: Medical decision making or time
Under current E/M guidelines, either medical decision making (MDM) or total time must be documented to support the level of service.
Question 96: Modifier -59 is used to indicate:
- Two surgeons performed a procedure together
- A service was reduced at the physician's discretion
- A service was discontinued due to complications
- A distinct procedural service separate from other services performed on the same day (Correct answer)
Correct answer: A distinct procedural service separate from other services performed on the same day
Modifier -59 indicates a distinct procedural service, used to bypass NCCI edits when procedures are appropriately reported together.
Question 97: Modifier -51 (multiple procedures) is appended to which code when multiple procedures are performed?
- All procedure codes reported
- The primary (highest-valued) procedure code
- The add-on codes only
- The secondary and additional procedures, not the primary (Correct answer)
Correct answer: The secondary and additional procedures, not the primary
Modifier -51 is appended to the secondary and additional procedures, not to the primary (highest-valued) procedure code.
Question 98: Which ICD-10-CM coding convention means 'not otherwise specified'?
- NEC
- MCC
- CC
- NOS (Correct answer)
Correct answer: NOS
NOS means 'not otherwise specified' and is used when the documentation lacks sufficient detail to assign a more specific code.
Question 99: The combining form 'oste/o' refers to which tissue?
- Muscle
- Bone (Correct answer)
- Nerve
- Cartilage
Correct answer: Bone
Oste/o is the combining form for bone, as seen in osteoporosis (porous bone disease).
Question 100: Which of the following is an example of upcoding?
- Reporting a lower-level E/M than documented to avoid audit risk
- Billing a comprehensive office visit when documentation only supports a brief visit (Correct answer)
- Using modifier -52 to indicate a reduced service
- Unbundling a global surgical package
Correct answer: Billing a comprehensive office visit when documentation only supports a brief visit
Upcoding is the fraudulent practice of billing a higher-level or more complex service than what was actually documented or performed.
CPC® — Certified Professional Coder
The CPC® credential, issued by AAPC, validates proficiency in outpatient medical procedure and diagnosis coding using CPT®, ICD-10-CM, and HCPCS Level II code sets. It is the most widely recognized medical coding certification in the United States.
Exam Rules
- You can skip questions and return to them later
- Flag questions for review before submitting
- No feedback shown until you submit the entire exam
- Unanswered questions count as wrong — answer everything
- 10 pretest questions are mixed in and don't affect your score
- Timer auto-submits when time runs out
- Your progress is auto-saved every 30 seconds