Chapter 19 Admin

A patient writes a check for $560 that is returned by the bank. The physician redeposits the check, which clears, and the physician does not want to charge this patient an NSF fee. How much should be added to the patient's account in this transaction?

$0

Checks received in the mail today include those for $90 and $436. If $568 in cash is deposited with the checks, how much is the total deposit?

$1,094

Checks received in the mail today include those for $23.03, $87, and $830. Checks taken in the office from patients include those for $25, $55, $30, and $255. What is the total in checks that will be included in the day's deposit?

$1,305.03

Debit card transactions to be added to the deposit include those for $45, $561, and $887. What is the total of these debits?

$1,493

The deposit is $450. The checkbook balance is $9,872.54. If one debit card transaction is completed on the account for $251.55, what is the balance in the account?

$10,070.99

The bank charges a fee of $25 for each of six NSF checks that were returned during the month. If the bank statement balance after outstanding checks are deducted is $12,543.24, what will the balance be after the fees are deducted?

$12,393.24

The deposit is $5,192. The checkbook balance is $10,432. What is the balance after the deposit is made?

$15,624

The physician charges $450 for a procedure, and the patient pays one third of the total by check. For what amount is the check written?

$150

The deposit is $3,290. The checkbook balance is $16,561, but the mortgage payment on the physician's building is paid the same day, which is $3,500. What is the checkbook balance?

$16,351

The physician uses a debit card to pay for purchases totaling $46, $50.02, $802.98, and $73. What is the checkbook balance after the debit card purchases if the account balance is $17,394.83 before the transactions?

$16,422.83

The petty cash till has 52 quarters, 43 dimes, 19 nickels, and 24 pennies. What is the total amount of change in the till?

$18.49

During the monthly reconciliation of the checkbook, the bank statement balance is $16,589.24. The checkbook balance is $16,569.24. The medical assistant should look for an error in what amount?

$20

A patient writes a check for $78 on an account with a balance of $285. What is the total due after the check is posted?

$207

The physician uses the debit card for $782.19 to pay for medical supplies, $56 for office supplies, and $76 to stock the employee break room refrigerator. If the balance in the checkbook is $32,830.43, what is the balance after the debit card activity?

$31,916.24

Checks received in the mail today include those for $87, $45, $88, and $100. What is the total check deposit for the day?

$320

Today's checks include $56, $73, $89, $23, $20, and $82. What is the total in checks for the daily deposit?

$343

The checks received today include $56, $78, $57, $43, and $5,633.12. What is the total amount in checks that will be added to the deposit?

$5,867.12

A patient writes a check in the amount of $56 toward her account of $569. What is her balance after the payment?

$513

The physician charges $2,400 for a surgical procedure. The patient pays half of the total amount as a deposit and agrees to make payments of $200 each month until the balance is clear. After three payments, what is the patient's balance?

$600

A patient writes a check for $44 that is returned from the bank. The physician charges a fee of $30 for NSF checks. How much should be added back to the patient's account?

$74

The currency taken in during the day includes 9 $20s, 2 $50s, 4 $100s, 6 $10s, and 17 $5s. What is the total currency?

$825

If the bank charges a fee of $12 each time the average balance drops below $5,000, and this has happened seven times during the year, what is the total in these fees that the physician will pay?

$84

The deposits in cash today are $657 and the checks total $8,343. What is the total deposit?

$9,000

The country is divided into how many Federal Reserve districts?

12

Many direct deposits are processed through which of the following?

ACH

What is required for a check to be negotiable?

All of the above; Be written and signed by the drawer, Contain a promise or order to pay a sum of money, Be payable on demand

Which of the following is required for a check endorsement?

All of the above; Ink pen or rubber stamp, On the back of the check, Across the left or perforated end

When should checks from patients and other sources be deposited?

As soon as possible after they are received

Which of the following best describes an ACH transfer of funds between two separate banking institutions?

Both accounts are not verified and funds may take several days to be available

The bank statement reconciliation is used as an audit, or to ensure that the bank is managing the funds in the account accurately. Any errors on the bank statement should be reported to the bank immediately.

Both statements are true

What is the first thing the medical assistant should do when a check is returned unpaid by the bank?

Contact the person who wrote the check

Banking by mail is never done now that the use of the Internet is so prevalent.

False

The maker of the check is the person to whom it is written.

False

The name of the first endorser of the check indicates the last person who received the money.

False

The person who writes the check is called the drawee.

False

__________ bonds reimburse the physician for any monetary loss caused by employees.

Fidelity

Which of the following is not an acceptable reason for stop-payment on a check?

Insufficient funds

Which type of bank account would be best for maintaining funds that are used for paying seasonal expenses, such as insurance premiums?

Interest-bearing checking account that requires a high minimum balance

Which of the following digits in an RTN represent the individual bank identification number?

Last six digits

Which of the following types of accounts requires a minimum balance and draws interest at the highest rates?

Money market savings account

For offices with a no cash policy, which type of payment is typically recommended for patients without a bank account?

Money order

Who in the office is authorized to sign checks?

Only those whose names appear on the signature card

__________ bonding covers specific individuals.

Personal

Which of the following is not one of the four types of endorsements?

Quality

Which of the following endorsements includes words specifying the person to whom the endorser makes the check payable?

Special endorsement

If a bank cashes a check that is later returned for insufficient funds, whom does it charge to recover the amount lost?

The person who last endorsed the check

Bank statements should be checked immediately upon receipt and scanned carefully for errors.

True

Blank endorsements make checks payable to the bearer.

True

Electronic payments can be made using the routing and account number and are processed at banks like regular checks.

True

Many banks offer applications that can be downloaded for free on smart phones and computers that will let the user deposit checks from any location.

True

Most patients who write checks to pay their account with their physician have no intention of fraud.

True

The stamp "For deposit only" is a restrictive endorsement.

True

The three most common types of bank accounts are checking accounts, savings accounts, and money market savings accounts.

True

For individuals to be __________, a personal background investigation normally is necessary.

bonded

The first thing that should be done when an NSF check is received at the physician's office is to

call the patient to let the person know that the check was returned

A check drawn on the bank's own account and signed by an authorized bank official is called a

cashier's check

A plan in which payments are transferred, usually electronically, by a paying agency directly to the account of a recipient is called

direct deposit

A person who writes a check is sometimes called the __________.

drawer

A signature on the back of a check whereby the rights of the check are transferred to another party is called a(n) __________.

endorsement

Banks ask to be notified within a reasonable time if the customer finds a(n) __________ on his or her bank statement.

error

A person presenting a check for payment might be called the __________.

holder

Any individual, corporation, or legal party who signs a check or any type of negotiable instrument is considered the

maker

An insured account requiring a minimum balance that draws interest at a higher percentage than a regular savings account is called a __________ account.

money market savings

An instrument that is legally transferable to another party is said to be __________.

negotiable

Something legally transferable to another party is considered

negotiable

A capital sum of money due as a debt or used as a fund for which interest is either charged or paid is called

principal

A capital sum of money due as a debt or used as a fund for which interest is either charged or paid is called the __________.

principal

The name of the last endorser of the check shows who last __________ the money.

received

The __________ discloses any errors that may exist in the checkbook or, on rare occasions, the bank statement.

reconciliation

A check made payable to "Cash" is most commonly used in the physician's office to

replenish petty cash

A(n) __________ endorsement is used in preparing checks for deposit to the physician's checking account.

restrictive

When an account is opened at a bank, the depositor will be required to complete a __________ card.

signature

If the medical assistant is allowed to sign checks on the physician's business account, he or she must sign a document at the bank called a

signature card

A(n) __________ check has a detachable form that is used to itemize or specify the purpose for which the check is drawn.

voucher