Chapter 56: Practice Management
The ______ is in charge of the patient care end of a medical practice, overseeing the physicians, midlevel practitioners, and medical assistants.
medical director
Physicians and _______ must have up-to-date DEA forms.
midlevel providers
Federal income tax deposits are made on a quarterly, a(n) ________, or a bi-weekly schedule determined by the IRS.
monthly
Staff meetings should be scheduled
monthly.
An employee information sheet should include the employee's
name. marital status. Social Security number. number of dependents. Form I-9.
If a complaint that has been addressed with the direct supervisor does not get resolved, a medical assistant should then go to the
next person in the chain of command.
A community health center is an example of a ______ organization.
nonprofit
The term midlevel providers refers to all of these:
nurse practitioner physician assistant nurse anesthetist
Which of the following documents is a formal representation of the supervisory structure and reporting relationships within a company?
organizational chart
Commonly, policies and procedures manuals include information about
paid leave. bookkeeping. rules and regulations. job descriptions. dress codes.
In a physician-owned medical practice, who is ultimately responsible for the practice?
physician
The practice manager communicates with many individuals on a regular basis, including
physicians. staff. insurers. patients.
Money from the petty cash fund should be used for purchases such as __________.
postage-due fees and holiday decorations
The ______ regularly communicates with many individuals and groups, such as vendors, governmental agencies, educational facilities, attorneys, community organizations, and other regulatory and professional agencies.
practice manager
A ______ period allows both the new employee and the employer the opportunity to decide if they are a "good fit."
probationary
A physician-owned medical practice may obtain the legal designation of a
professional corporation.
PC is the abbreviation for
professional corporation.
Procedures that ensure that the services provided in the medical practice meet or exceed requirements and standards are called:
quality assurance activities
Form 941 must be filed
quarterly.
A clinical procedures manual would be most likely to include __________.
reagents, standards, and controls used
A mediator's roles in labor relations are to
resolve conflict. facilitate communication.
Plans and processes that continually identify, assess, correct, and monitor functions of the medical office to prevent negative outcomes and minimize exposure to risk and liability are components of
risk management.
How many hours does the Fair Labor Standards Act mandate for a fixed, regular, recurring work week?
168 hours
The FMLA allows employees up to _______ weeks of job-protected unpaid leave for approved medical needs.
12
Generally an employer must pay what percent of FUTA tax, which is applied to the first $7000 of the employee's income for a year, if employees' wages total more than $1500 in any quarter.
6.2%
Each quarter, an Employer's Quarterly Federal Tax Return, also known as Form ______, must be filed with the IRS.
941
What does an organizational chart show employees?
A hierarchy of job duties
Which of the following laws regulate hiring practices?
ADA FMLA EEOC
Which federal department publishes online copies of the Employment Law Guide?
Department of Labor
How do most employees like to have their paychecks dispensed?
Deposited automatically
Policy and procedure manual
Describes all office policies for administrative and clinical procedures
What is a rapid and convenient way to communicate with staff in the medical office?
What enables you to handle the practice's payroll without generating payroll checks manually?
EFTS
Form W-4
Employee Withholding Allowance Certificate
Every three months, a more complete accounting of federal taxes is required on the __________.
Employer's Quarterly Federal Tax Return
Which of the following summarizes the federal income and FICA taxes withheld from employees' paychecks?
Employer's Quarterly Federal Tax Return
Form I-9
Employment Eligibility Verification
The tax in which one-half is paid by the employer and the other half is withheld from the employee's paycheck is __________.
FICA
An example of a required deduction from an employee's paycheck is __________.
FICA tax
This tax is not a deduction from the employee's paychecks but is based on their earnings and paid by the employer.
Federal Unemployment Tax Act (FUTA)
When is an incident report required?
For any adverse incident with risk of liability
Another name for the Employer's Quarterly Federal Tax Return is __________.
Form 941
A Wage and Tax Statement is also referred to as
Form W-2.
A Transmittal of Wage and Tax Statements is also referred to as
Form W-3.
Another name for an employee's Withholding Allowance Certificate is __________.
Form W-4
On which form will the number of dependents an employee is claiming, for tax purposes, be found?
Form W-4
Incident report
Form to be completed when an adverse outcome or event with risk of liability occurs
Staff meetings
Formally blocked off time to have group discussions
What do you do with an incident report once it is completed?
Give it to the appropriate supervisor.
Which equation is correct to figure your take-home pay?
Gross earnings - Total deductions = Net earnings
Which of the following are effective ways of building a team?
Help members set goals Value each member
What is the primary group of employees covered by the Fair Labor Standards Act?
Hourly
Which department is also known as personnel services, the personnel department, or people services?
Human resources
______ concerns employee-related issues, such as hiring, terminating, training, benefits, and labor relations.
Human resources Personnel services
Which of the following is an Employment Eligibility Verification form?
I-9
Monies deducted from employee paychecks for income taxes must be deposited in a bank authorized by which agency?
IRS
Beginning with the first step on top, list the steps for problem solving.
Identification of the problem Assessment Correction Monitor the effectiveness Reevaluation
Form W-2 serves which of the following purposes?
It shows the employee's total taxable income for the previous year.
Agenda
List of topics discussed at a meeting and the order they will be presented
______ must be properly licensed and credentialed with CMS and other payers as required.
Midlevel providers Physicians
What is essential in the personnel management phase for a new employee when hired?
Orientation
Midlevel provider
Physician's assistant or nurse practitioner
Which providers require licensure?
Physicians Midlevel providers Healthcare facilities
Suggestion box
Place for staff to share ideas anonymously
The guideline for the office's day-to-day workings can be found in the:
Policies and Procedures Manual
What can petty cash be used for in a medical office?
Postage dues Holiday decorations Any small purchases
Rapid and convenient written communication.
Which of the following would require an incident report?
The wrong laboratory test was ordered for a patient.
Sexual harassment
Unwelcome verbal, visual, or physical conduct of a sexual nature that is severe or pervasive and affects working conditions or creates a hostile work environment
You can use a software program to do the following for payroll:
Update payroll ledgers Print employee earning records Prepare employee W-2 forms
Bulletin board
Usually located in the staff lounge. Cannot contain sensitive or confidential information as others may see it
Information about the release of patient PHI can be found in the ______ procedures manual.
administrative
The responsibilities of the practice manager include
business compliance. safety requirements. monitoring of risk management.
Which of the following terms is used to demonstrate how each rank or level in an organization is accountable to those directly superior and how the authority passes from one level to the next?
chain of command
Instructions on performing specific tests in the medical office can be found in the ______ procedures manual.
clinical
A problem-solving model that follows each issue to resolution, is referred to as
closing the loop
Processing payroll includes
creating earnings records. calculating earnings. subtracting taxes and deductions.
Money deducted from employee paychecks and deposited in the bank should be recorded as ____ in the practice's checking account.
debits
The basics of hiring a successful employee include __________.
discussing policies and procedures early
Which of the following does the Fair Labor Standards Act primarily affect?
employees who earn hourly wages
FICA and federal income taxes are collectively known as _______ taxes.
employment
Employees achieve more when they know what is _________ of them.
expected
An incident report contains
facts.
Select the basics to hiring a successful employee:
find the most qualified person train appropriately discuss polices and procedures clearly check references
The practice manager, or a designee, may be responsible for
firing. evaluating. hiring. interviewing.
Calculating gross earnings is the ______ step in the payroll process.
first
The total amount of income earned is called ______ earnings.
gross
What is the term for the total amount of income earned by an employee before deductions are subtracted?
gross earnings
The overarching sections of orientation are
health and safety. the employee's job. the organization.
An example of a voluntary deduction from an employee's paycheck is __________.
health insurance premium payments
Risk management identifies opportunities for
improvement.
Which of the following pertains to a payroll register?
it summarizes information about all employees and their earnings
The purpose of a petty cash fund is to:
keep cash on hand for small purchases.
Integrity, confidence, a desire to achieve goals, a willingness to accept responsibility, and the realization that goals are best achieved through the efforts of many are traits of an effective
leader.
Payment of a set amount of money per pay period, regardless of the number of hours worked, is __________.
a salary
Which of the following information is most likely to be located in the P&P manual for a medical office?
dress code
Information about an employee's earnings history can be found in that employee's
earnings record.
Cigna HealthCare is an example of a ______ organization.
for-profit
An employee who feels unjustly treated should file a(n) ______ with the human resources department.
grievance
A(n) ______ is a form to be completed when an adverse outcome or event with a risk of liability occurs.
incident report
Guaranteeing the adequacy of the technology, providing for the practice's financial viability, and monitoring risk management are duties of the
practice manager.
The policies and procedures manual is usually developed by the
practice manager. staff. physician.
What is petty cash sometimes called?
revolving fund
Plans and processes that continually identify, assess, correct, and monitor functions of the medical office to prevent negative outcomes are known as:
risk management
Incident reports are done as part of the process of:
risk management.
All employee deductions must be deposited into
separate accounts.
Which of the following would be found in an administrative procedure manual?
telephone procedures
A pay schedule __________.
shows how often an employee is paid
An employee payroll information sheet should include __________.
the employee's Social Security number
The Family Medical Leave Act (FMLA) provides:
up to 12 weeks of job-protected, unpaid leave for certain approved medical reasons
An employee's W-4 form should be __________.
updated yearly.
Common reasons for staff absences include
vacation. illness. education.
Shannon is the practice manager for a mid-size medical practice. Today she is interviewing Tina for the position of medical assistant. Which of the following questions should Shannon avoid during the interview?
"Are you a union member?"
The physicians in a physician-owned medical office have asked Brenda, the office manager, to set goals for office employees in an effort to make the office more efficient. Brenda has never had to set goals for anyone before, so she asks you for advice. Which of the following responses would be most helpful to Brenda?
"Make sure the goals you set are measurable, so the employees can see their progress."
Generally the petty cash fund should be replenished when there is a minimum of __________ in the fund.
$15
If an employee earns $8 per hour and works 35 hours per week, the employee's gross weekly earnings are __________.
$280
If an employee's paycheck is made out for $300, what would his net earnings be?
$300
Karen works 40 hours a week at a popular tourist attraction and earns a weekly salary of $400. This week, due to Fourth of July crowds, she was asked to work another 10 hours. Having worked 50 hours this week, how much can Karen expect to earn for the week?
$400
What is the usual amount of money kept in a petty cash account?
$50
Approximately how many hours per week, per employee would payroll take if done manually?
1 hour
Employers must pay FUTA taxes if employees' wages total more than $______ in any quarter if the employees are not seasonal or household workers.
1,500
Organizational chart
Supervisory structure and reporting relationships between different functions and positions
What is the name of the EFT program through which businesses submit federal income taxes and FICA taxes?
TAXLINK
Net earnings
Take-home pay
Which of the following statements applies to an electronic funds transfer system (EFTS)?
The employee does not have to worry about losing the paycheck.
Which of the following would warrant the completion of an incident report?
There was a close call with a used needle.
To whom should a check be written to replenish the petty cash fund?
To "Cash" To "Petty Cash"
Why should you initiate an incident report on an event that only has a risk for injury?
To correct the problem and prevent future occurrences
What is the purpose of the petty cash fund?
To pay for incidental or unexpected expenses
Probationary period
Trial period
Federal income tax deductions is determined by the employee's number of exemptions. What form do you find this information?
W-4
Form W-2
Wage and Tax Statement
Which of the following insures employees against possible loss of income resulting from a work-related injury, disability, or disease?
Workers' compensation
What is the first step to start the petty cash fund?
Write a check to petty cash to start the fund
Employers are legally required to deduct money from employees' earnings for
state income tax. federal income taxes.
A good leader knows to accomplish goals by capitalizing on each team member's ____________.
strengths
If a medical assistant has a complaint about a direct supervisor, the complaint should first be addressed with the
supervisor.
Monies used to pay taxes to government agencies are deposited into separate ______ accounts.
tax liability
The money used to pay taxes to appropriate government agencies is paid from __________.
tax liability accounts
Which of the following is mandated for hourly employees by the Fair Labor Standards Act?
time and a half for all hours worked beyond the normal 8 hours in a regular workday
At the end of each pay period, each employee's _______ should be recorded on a payroll register.
total gross earnings overtime earnings hourly rate hours worked earnings to date
FUTA and SUTA taxes provide money for workers who are
unemployed.
An effective leader should have excellent ______ and oral communication skills.
written
Which of the following questions cannot be asked during an interview?
Do you have small children at home?
This section of the policies and procedures manual includes a listing of the standard length of time required for various procedures.
Scheduling appointments
How often are federal employment taxes deposited for the practice?
According to the federal tax deposit schedule
What is Form SS-4?
Application for Employer Identification Number
John has been a medical assistant at the medical practice for 2 years and has always tried to do his job well. No matter how well he performs, his coworker Angie, who has been there for 5 years, finds something to complain about regarding his work. He has talked to Angie about this, but Angie's behavior has not changed. Although John loves his job, he feels that he is being unfairly targeted. What can John do as a next step in resolving this issue?
Ask the practice manager to mediate.
When counting petty cash, the cash on hand plus the amount of the receipts should equal the predetermined amount for petty cash. How often should you check the cash on hand against the receipts to be sure petty cash is correct?
At the close of business every day
When should you balance the petty cash fund?
At the end of each month
Jan returned with a receipt for her purchase and change from the money given to her from petty cash. You returned the change to the petty cash drawer and deducted the amount from the voucher. What should you do with the receipt?
Attach it to the voucher.
Which of the following can include differences in all manner of identities, age, sex, race, ethnicity, physical abilities, religious beliefs, sexual orientation, and personalities?
Diversity
Bill's wife was diagnosed with colon cancer and underwent surgery last week. She is currently undergoing chemotherapy and is both very ill and very weak. Which of the following will allow Bill to stay at home and take care of his wife for up to 12 weeks, without pay, without losing his job?
Family Medical Leave Act
Which of the following are key points to goal setting for a team or employee?
Goals should be measurable Team members should participate in the goal setting Goals should be challenging
What is 'take-home pay' also called?
Net earnings
What should you obtain for each payment from the petty cash fund?
Obtain a receipt or create a voucher
What type of communication leads to an understanding and respect for those that are different from each other?
Open communication
What is the name of the form that must be submitted to the IRS to obtain an EIN?
SS-4
Which position is usually paid by commission?
Salesperson
Mr. Pugh, who is unaccompanied, fell in the reception area. He stated he was not injured. He just leaned over too far to pick up a book off the floor. There are several other patients in the reception area and Joe, a medical assistant, was walking through the area at the time of the fall. Who do you NOT question to gather information concerning a patient injury from a fall in the medical office?
The patient's wife
What is the purpose of using a voucher system with the petty cash fund?
To provide a method of tracking money used from the petty cash fund
The tax form that lists the employee's number of dependents is the:
W-4
The year-end tax form that must be filed for each employee is the:
Wage and Tax Statement (W-2)
A commission is __________.
a percentage of the amount an employee earns for the employer
A person named as a dependent is __________.
a person who is financially dependent on the employee
Information in each employee's earnings record includes the employee's
address. birth date. name. pay rate.
Which of the following employees would qualify for workers' compensation?
an employee who sustained a crushing injury to the leg at work
A budget is created
annually.
Having a system in place for handling petty cash ensures
availability of money for incidental expenses as well as accountability for the money.
To be a good leader, many believe you must:
be a good follower understand how to be supervised be willing to follow directions
A ______ predicts the expenses and revenues related to operations over a given period of time.
budget
At the end of each workday, you should be sure the petty cash is balanced. The amount in petty cash should not be different than sum of the
cash on hand and receipts.
During a probationary period, an employer may terminate a new employee with or without
cause. reason.
Alysia was administering an intramuscular injection of an antibiotic to Bobby, a 7-year-old child. Bobby was very nervous about getting a shot, so his mother was standing near him, with her arm around him for encouragement. As Alysia was removing the needle from Bobby's arm, he jerked suddenly, and the tip of the needle grazed Bobby's mother's forearm, breaking the skin. Which of the following forms will Alysia need to complete?
incident report
Formal ______, which are a record of a staff meeting, should be kept.
minutes
Midlevel healthcare providers include
nurse practitioners. physician assistants.
A(n) ______ summarizes vital information about all employees and their earnings.
payroll register
Calculating employees' earnings and subtracting taxes and other deductions are part of the process of handling
payroll.
Medical assistants are required to be under the direct supervision of the ______ for direct patient care activities.
physician nurse practitioner physician assistant
The ______ manual provides information about all office policies and clinical procedures.
policies and procedures
Which of the following is a key communication tool for the medical office, which covers both administrative and clinical procedures?
policies and procedures manual
If medical assistants need clarification on how to perform an assigned task, they should refer to the office's
policies and procedures manual.
A key written communication tool in the medical office is the __________.
policy and procedures manual