CMAS CMAS Financial Management & Accounting

Question 1

Which financial statement summarizes a medical practice's revenues, expenses, and net income over a specific period?

Accepted Answer

Income statement

Answer

Balance sheet

Answer

Cash flow statement

Answer

Accounts receivable report

Question 2

A medical office's accounts receivable (A/R) aging report shows a large balance in the 90–120 day column. What is the BEST immediate action?

Accepted Answer

Review and follow up on unpaid claims with insurers and patients

Answer

Write off all balances over 90 days

Answer

Increase patient copays to offset losses

Answer

Suspend billing operations temporarily

Question 3

What does the term 'days in A/R' measure in a medical practice?

Accepted Answer

The average number of days it takes to collect payment after a service is rendered

Answer

The number of days staff spend on billing tasks

Answer

The number of days before a claim is submitted to insurance

Answer

The time between patient scheduling and the appointment date

Question 4

Which of the following best describes petty cash management in a medical office?

Accepted Answer

Maintaining a small cash fund for minor incidental expenses with a log of transactions

Answer

Using petty cash to pay employee salaries

Answer

Depositing all cash receipts directly into petty cash

Answer

Combining petty cash with the main operating account

Question 5

When a medical office performs a bank reconciliation, what is the primary goal?

Accepted Answer

To ensure the practice's accounting records match the bank statement balance

Answer

To increase the practice's credit limit

Answer

To calculate payroll taxes owed

Answer

To determine the cost of medical supplies ordered

Question 6

Which type of budget forecasts expected revenues and expenses for a medical practice over the coming year?

Accepted Answer

Operating budget

Answer

Capital budget

Answer

Cash flow budget

Answer

Zero-based budget