15Fees, Billing, Fees, Billing, Collections, and Collections, and CreditCreditLesson 2:Lesson 2:Accounting SystemsAccounting Systems

1. When it comes to accounting, who is given this responsibility in the medical office?

Accounting◦ System of reporting the financial status of a

business

Bookkeeping◦ Process of managing the accounts of the business

on a daily basis

Use a black ink penKeep the columns straight with decimal points lined up

Check all arithmetic for errors,

Do not erase, write over, or use white out.

Pay close attention to detail

Always fix errors as soon as they appear

Double-check every entry

CD-ROM green administrative procedures◦ Pt. billing and collections

Determining fees owed

To credit an account means to subtract the payment from the account

A patient has a credit balance when an overpayment occurs.

A credit balance may be noted on the patient’s account either in red or by enclosing the amount in parentheses

Debit◦Money owed

Adjustment◦A change on the account due to a discount, write-off or a disallowance

Balance◦Difference between the debit and the credit

The CPT book lists codes for reporting medical services and procedures, including diagnostic, laboratory, radiology, surgical and many others.

ICD Codes The ICD manual includes codes that identify the

particular diagnosis.

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