Office Procedures Flashcards
True or false; a medical practice is a business and must produce a profit
True
The original record of the doctors services and the charge for those services
Charge slip
Can a check from an insurance company include payment for more than one pt?
Yes
The person who writes a check
Payer
Gives a person the legal right over financial matters for a person who is too sick
Power of attorney
A bank will accept a list of deposited items on something other than the bank provided deposit slip,
Since the bank’s deposit slip is attached with the account number
How often is reconciliation performed?
Usually once a month
Should you change any information that is incorrect when reviewing the electronic checkbook register?
Yes
What function electronically reconciled the monthly bank statement?
Balance checkbook
Interest paid on the initial investment and in interest earned on the investment
Compounded interest
Do retirement plans raise business taxes?
No
The person who will receive the payment
Payee
Do not accept a third party check unless it is from…
The health insurance company
Means that you have a legal right to all the money in your account
Vesting
If you terminate employment, do you have to transfer or roll over funds in your 401k account to an Individual Retirement Account?
No
Includes charges and payments
Daily log
Is it important to use the daily log sheet when organizing the practice’s bookkeeping system?
No
What could cost the medical practice thousands of dollars?
Lost bank deposit receipt
Should you accept a check marked payment in full if it is not the complete outstanding balance?
No
Paid vacations, paid holidays, disability and life insurance are examples of…
Employee benefits
Involves managing accounts receivable and accounts payable
Basic accounting
Describes the money that is received
Accounts receivable
Represents the money paid out to run the practice
Accounts payable
Shows the charges for service provided by the practice
Fee schedule
The average fee charged for a service or procedure by all comparable doctors in the same area
Appropriate fee
The average fee charged for a procedure by similar doctors in the same region
Customary fee
There is a growing tendency to determine fees by…
National rather than regional trends
Should you encourage a pt to pay by credit card?
No
Does the credit card company deduct a percentage of each patient charge for its collection fee?
Yes
Is it common for medical practices to accept insurance?
Yes!
Does tricare operates differently from other insurance?
Yes
When you send invoices to a group of patients every few days
Cycle billing
Is it acceptable to threaten to send a pt’s account to a collection agency even if you are not ready to do so?
No!
Should there be anymore communication between the physician’s office and the patient once it has been sent to a collection agency?
No
A lawsuit in which one or more people sue a company that wronged all of them in the same way
Class action law suit
Money paid as punishment for intentionally breaking the law
Fine
The practice can buy this to protect the practice from lost income because of nonpayment
Accounts receivable insurance
Can a physician extend credit to a pt who is unable to pay because of high medical bills?
Yes
If a payment agreement between the patient and physician has been made, what required that creditors provide applicants with accurate and complete credit costs and terms?
The Truth in Lending Act
Free treatment for hardship cases is at who’s discretion?
Physician
Most practices try to reduce expenses by controlling…
Accounts payable
The physician usually authorizes who to handle the purchasing of supplies and other products?
MA
Required by law from every employer for federal tax accounting purposes
Employer identification number
Federal unemployment tax is paid by who?
Employer
Would a physician have a lower unemployment tax than an industry would?
Yes
Purpose is to avoid writing checks for small amounts
Petty cash
