Fordney's Medical Insurance and Billing 17th Edition Test Bank by Linda M. Smith | 2026 Edition | Verified Answers & Chapter Quizzes

Authored by leading experts, this test bank mirrors the exact structure of your textbook, providing hundreds of multiple-choice questions, true/false statements, and completion exercises. Unlike the standard textbook, this guide provides the correct answers and difficulty levels (Easy, Moderate, Hard) for every question, allowing you to test your knowledge, identify weak areas, and build confidence before exam day. Test Bank Fordney’s Medical Insurance and Billing 17th Edition by Linda M. Smith Latest Updated 2026 Questions with Correct Answers Chapter 01: Role of an Insurance Billing Specialist MULTIPLE CHOICE 1. Which level of education is generally required for one who seeks employment as an insurance coder? a. College diploma b. High school diploma c. Completion of an accredited program for coding certification d. No specific level of education is required CORRECT ANSWER: C DIF: Easy OBJ: 4 2. The amount of money an insurance billing specialist earns is dependent on which of the following factors? a. Knowledge b. Experience c. Size of employing institution d. All are correct CORRECT ANSWER: D DIF: Moderate OBJ: 5 3. A self-employed medical insurance biller who does independent contracting is responsible for a. advertising. b. billing. c. accounting. d. All are correct. CORRECT ANSWER: D DIF: Hard OBJ: 2 4. Medical etiquette refers to a. consideration for others. b. moral principles or practices. c. laws. d. the Oath of Hippocrates. CORRECT ANSWER: A DIF: Moderate OBJ: 9 5. The process of shortening words and using abbreviations that do not follow standard grammar, spelling and punctuation when writing electronic mail communications is referred to as: a. emoticons b. abbreviations c. text speak d. short text CORRECT ANSWER: C DIF: Easy OBJ: 9 6. Professional ethics include a. state laws. b. federal laws. c. standards of conduct. d. civil torts. CORRECT ANSWER: C DIF: Moderate OBJ: 9 7. The earliest written code of ethical principles for the medical profession is the a. Oath of Hippocrates. b. Socratic oath. c. Code of Hammurabi. d. Medicolegal oath. CORRECT ANSWER: C DIF: Easy OBJ: 9 8. What is the name of the modern code of ethics that the American Medical Association (AMA) adopted in 1980? a. The Modern Standards of Conduct Code b. The Principles of Medical Ethics c. The Oath of Hippocrates d. The American Medical Association Code of Ethics CORRECT ANSWER: B DIF: Easy OBJ: 9 9. The primary goal of an insurance billing specialist is: a. to manage the health care organization’s billing office b. to ensure the cash flow of a health care organization through revenue cycle management c. to send bills to patients for services they receive d. to post payments received from patients and insurance carriers CORRECT ANSWER: B DIF: Moderate OBJ: 2 10. Facility billing includes charging for medical services provided by: a. physicians b. laboratory services c. ambulance services d. ambulatory surgical centers CORRECT ANSWER: D DIF: Easy OBJ: 2 11. A claims assistance professional a. works for the consumer. b. works for the health care organization. c. works for an insurance company. d. works for the federal government. CORRECT ANSWER: A DIF: Easy OBJ: 2 12. What is ―cash flow‖ in a medical practice? a. The actual money available to a medical practice b. The amount of money received by a medical practice in 1 day c. The amount of money received by a medical practice in 1 month d. The amount of outstanding money on the accounts receivable CORRECT ANSWER: A DIF: Moderate OBJ: 2 13. Reporting incorrect information to government-funded programs is a. unethical. b. illegal. c. abuse. d. fraud. CORRECT ANSWER: B DIF: Moderate OBJ: 9 14. The doctrine stating that physicians are legally responsible for both their own conduct and that of their employees is known as a. respondeat superior. b. let the master answer. c. vicarious liability. d. All are correct. CORRECT ANSWER: D DIF: Hard OBJ: 10 15. What is the independent contractor’s liability if they operate their own medical insurance billing company? a. None. The professional liability insurance of the company they contract with will cover them. b. The independent contractor is liable and should purchase errors and omissions insurance. CORRECT ANSWER: B DIF: Moderate OBJ: 10 COMPLETION 1. is the total income produced by a health care organization. CORRECT ANSWER: Revenue DIF: Moderate OBJ: 1 2. An individual health care provider’s patient charts which includes notes and information collected by them is referred to as the: CORRECT ANSWER: Medical record DIF: Moderate OBJ: 3 3. Information collected from clinicians in all health care organizations who are involved in a patient’s care which is made available to all authorized clinicians to access when providing patient care is the: CORRECT ANSWER: Health record DIF: Moderate OBJ: 3 4. Charging for services done in hospitals, acute care hospitals, skilled nursing or long-term care facilities, rehabilitation centers, or ambulatory surgical centers is known as billing. CORRECT ANSWER: facility DIF: Moderate OBJ: 2 5. Charging for services performed by physicians, nurse practitioners, licensed clinical social workers and physical therapists is known as billing. CORRECT ANSWER: Professional DIF: Moderate OBJ: 2