Which of the Following Steps to Medical Billing Should Be

question 28

Multiple Choice

Which of the following steps to medical billing should be performed prior to rendering medical services?

• A) Verify the patient's eligibility for insurance coverage
• B) Collect patient insurance information
• C) Code the diagnosis and procedures
• D) Complete the CMS-1500 health insurance claim form
• E) Both A and B

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Definitions:

Manufacturing Overhead

Indirect factory-related costs that are incurred when a product is manufactured, including costs for management, equipment maintenance, and factory utilities.

Direct Labor Cost

This cost includes wages and benefits paid to employees who are directly involved in producing goods or providing services.

Product Costs

Expenses directly associated with the production of goods, including materials, labor, and overhead costs.

Period Costs

Expenses that are not directly tied to production and are expensed on the income statement in the period they are incurred, such as selling and administrative expenses.