When a Claims Error That Could Result in Inaccurate Reimbursement

question 6

True/False

When a claims error that could result in inaccurate reimbursement is discovered,a corrected claim should be prepared and submitted according to the payer's guidelines.

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Definitions:

Net Credit Sales

Sales made on credit minus returns and allowances, representing the actual sales revenue expected to be collected.

Allowance for Doubtful Accounts

A contra-account that reduces the total receivables on the balance sheet by an amount expected to be uncollectible.

Income Statement Approach

A method for determining certain balances that should appear on the income statement by considering revenues and expenses, rather than focusing directly on cash flow.