Inventory Management & Billing Flashcards
7 cards from real PTCB practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Inventory Management & Billing flashcards as text
What does 'AWP' stand for in pharmaceutical pricing, and how is it used?
Answer: Average Wholesale Price; a benchmark used in drug pricing and reimbursement calculations
AWP (Average Wholesale Price) is a published benchmark price used as a reference point in insurance reimbursement formulas, though it does not reflect actual transaction prices.
What is the purpose of tracking lot numbers for medications in a pharmacy?
Answer: To identify specific batches of product in the event of a recall
Lot numbers identify specific manufacturing batches, allowing pharmacies to quickly locate and remove affected products during a drug recall.
A pharmacy technician is processing a claim and receives a rejection code indicating 'refill too soon.' What does this mean?
Answer: The patient is attempting to refill before the insurance-allowed refill date
A 'refill too soon' rejection means the patient's insurance will not cover the refill because not enough days of the previous supply have elapsed.
What is a 'chargeback' in pharmaceutical distribution?
Answer: A credit issued by a manufacturer to a wholesaler when the wholesaler sells to a contracted customer at a discounted price
A chargeback is a manufacturer reimbursement to a wholesaler for the difference between the wholesaler's cost and the contracted lower price charged to eligible customers.
Which of the following best describes a 'drug shortage' and the pharmacy technician's appropriate response?
Answer: A temporary supply disruption; the technician should notify the pharmacist so alternatives can be identified
Drug shortages are temporary supply disruptions; technicians should alert the pharmacist who can work with prescribers to identify therapeutic alternatives.
What is the primary purpose of conducting a periodic physical inventory count in a pharmacy?
Answer: To reconcile actual stock on hand with perpetual inventory records and identify discrepancies
Physical inventory counts verify that the actual quantity on hand matches recorded inventory levels, helping identify theft, waste, expired product, or data entry errors.
Under DEA regulations, a pharmacy must take a complete physical inventory of all controlled substances at least once every how many years?
Answer: 2 years
DEA regulations (21 CFR 1304.11) require pharmacies to conduct a complete biennial (every 2 years) inventory of all controlled substances on hand.