Ch 15-Bookkeeping
About this set
Created by:
erinr8484 on December 8, 2011
Classes:
MAST 1110-Admin Practice Mgmt.
Log in to favorite or report as inappropriate.
Order by
42 terms
Terms | Definitions |
|---|---|
 Amounts pd out for the expenses of the medical practice are recorded in the | Accounts payable ledger |
| When you make a payment on a debt, your liability increases | false-it decreases |
| For minor office expenses, money should be taken from the | Petty cash fund |
| Professional discounts, courtesy adjustments, and disallowances by insurance companies are examples of | adjustments |
| In a medical practice, computerized accounting is used to reduce paper, increase accuracy, and incorporate electronic billing. | true |
| It is important that each day's cash and check receipts equals the day's total | bank deposit |
| Double-entry accounting is simple; one does not have to worry about the books being balanced. | false-books must balance; it is advisable to hire an outside accountant, however, the asst. should understand the basics of the system |
| Cash, inventory, furniture, and equipment are types of | assets |
| When single-entry accounting is used, errors are not always obvious | true |
| An individual patient's ledger contains only a record of all fees charged posted on the date of svc | false-it also contains the patient's (and possibly patient's family) demographics |
| record showing the amounts owed for svcs rendered | accounts receivable |
| amount owed on a credit transaction | balance |
| money (currency and coins) and negotiable checks, that is, cashier's checks or money orders | cash |
| original investment money and other owned property | capital |
| cumulative list of patients, services, charges, payments, and adjustments for a day | daysheet |
| anything owned by the business | assets |
| decreases assets | credit |
| increase in assets | debit |
| amounts owed for the expenses of the business | accounts payable |
| an amount that is "written off" and not collected | adjustment |
| An adjustment is made on an acct when the contracted insurance payment plus the patient responsibility is less than the amt of the charge | true |
| Amounts owed to creditors for the regular operation of a business are known as | accounts payable |
| Assets equal capital plus liabilities | true |
| Recording the financial affairs of a business is the main purpose of all | bookkeeping systems |
| Most medical practices rely on the administrative medical asst to manage bookkeeping transactions accurately | true |
| Accounting that is neither self-balancing nor well formulated is called | single-entry accounting |
| Capital equals assets plus liabilities | false-Assets = Capital + Liabilities |
| The petty cash fund should be used for all office purchases, regardless of the size of the purchase | false-petty cash fund should only be used for small office purchases |
| Each transaction to a daily ledger is recorded by the medical assistant or bookkeeper; this is also referred to as | posting |
| bookkeeping system of financial records used in business whereby equal debits and credits are recorded for each transaction | double-entry accounting |
| to carry forward the balance of an individual ledger | extend |
| owner's net worth or equity; value of asstes exceeding liability | proprietorship |
| monies that are owed for business expenditures | liability |
| any account with a non-zero debit or credit balance | open account |
| to record or transfer financial entries, debit or credit, to an acct | post |
| form stating details as evidence of a disbursement of cash | voucher |
| small cash fund readily available for minor office expenses | petty cash fund |
| easy bookkeeping system but not self-balancing nor well formulated | single-entry accounting |
| journal in which all daily fees and payments may be recorded | general ledger |
| Payments at the time of svc and payments received by mail must be recorded | daily |
| Change for a patient who pays cash is made from the | change drawer |
| In a manual bookkeeping system, copies of the ledger card can be used as | patient statements |
First Time Here?
Welcome to Quizlet, a fun, free place to study. Try these flashcards, find others to study, or make your own.