RMA 12

A list of all employees and their earnings, deductions, and other information is called

A. Employee earnings
B. Accounts payable
C. Payroll tasks
D. Employer financial listing
E. Payroll register

A payer's own check that is guaranteed by the bank is called a

A. Money order
B. Guaranteed check
C. Counter check
D. Certified check
E. Cashiers check

Recording financial transactions in a bookkeeping or accounting system is called

A. Superbill
B. Trial balance
C. Ledger
D. Deducting
E. Posting

Paper towels are considered

A. Durable items
B. Capital equipment
C. Incidental items
D. Clinical supplies
E. Expendable items

Amounts charged with suppliers or creditors that remain unpaid are referred to as

A. Accounts payable
B. Account receivable
C. Account balances
D. Assets
E. Bookkeeping

A collection ratio is

A. The amount of money collected this year divided by the amount of money collected last year.
B. The total collections divided by the net charges.
C. The total collections divided by the gross charges.
D. The total amount of money collected divided by any discounts.
E. None of the above.

The portion of the salary held back from payroll checks for the purpose of paying government taxes is known as

A. Annual tax returns
B. W-4 forms
C. Federal Unemployment Tax Act
D. Withholding
E. FICA

Which of the following may be used by a payer as a third party check?

A. Traveler's check
B. Bank draft
C. Payroll check
D. Cashier's check
E. The payer's personal check

A billing statement should include

A. The patient's name and address
B. Services rendered on each date
C. Balance due to the patient
D. Both B and C
E. All of the above

Which of the following due dates for Employer's Quarterly Federal Tax Returns is NOT correct?

A. October 31
B. January 31
C. April 30
D. July 31
E. June 30

Aging accounts receivable

A. Is a tool to show the status of each account
B. Is not necessary in a single physician office
C. Involves writing off accounts that are over 5 years past due
D. Means that the physician must collect the receiveables on time
E. Involves writing off accounts that are over 1 year past due

A piece of paper describing a purchase and the amount due is known as a

A. Disbursement
B. Packing slip
C. Vendor
D. Invoice
E. Inventory

Evaluation of collection is based on

A. The collection ratio
B. The accounts receivable ratio
C. The bank statement balance
D. Both A and B
E. All of the above

Which of the following statements regarding state unemployment tax is correct?

A. Only employee must make a payment
B. Only employer's must make a payment
C. A few states require both employees and employers to make a payment
D. A few states do not make it available
E. None of the above

The accounts receivable ratio shows

A. The dollar value of the services performed
B. How fast outstanding accounts are being paid.
C. The number of outstanding accounts
D. Both B and C
E. Both A and B

What is a trial balance?

A. A daily summary
B. Accrual accounting
C. An accounting system
D. A way of checking the accuracy of accounts
E. Bookkeeping

Cash amounts that are paid out are called

A. Disbursement
B. Statements
C. Receivables
D. Payables
E. None of the above

A vendor's invoice should be kept on file for at least how long?

A. 3 years
B. 5 years
C. 1 year
D. 10 years
E. As long as the practice exists

The reviewing of financial data to verify accuracy and completeness is called

A. Taking a trial balance
B. Withholding taxes
C. Accounts payable
D. Annual tax returns
E. Auditing

Which of the following does debit mean?

A. Subtract
B. Balance
C. Total
D. Subtotal
E. Charge

When new supplies are recieved, you should

A. Throw out the old ones
B. Place them in the front of the supply area
C. Place them in the back of the supply area
D. Inventory all supplies
E. Both A and D

A bank draft is a check drawn by a bank

A. On its funds to another bank
B. On the guaranteed funds of a depositor
C. That can be used as a third party check
D. That is not limited
E. That is less reliable than a cashier"s check

The credit policies of the medical facility

A. Should include a specification of when the practice requires payment
B. Should be in writing
C. Should vary depending on a patient's circumstances
D. Both A and B
E. Both B and C

Petty cash may be used

A. For paying an invoice for supplies ordered
B. For paying minor incidental expenses such as public transportation fares
C. For paying the electric bill for the medical facility
D. Only by the physician
E. Only in emergencies