Questions with Correct Answers
(Verified Answers) Plus Rationales 2026
Q&A | Instant Download Pdf
1. A patient receives an office visit for hypertension management and a
separately identifiable minor surgical procedure on the same date. Which
modifier is most likely necessary to report the evaluation and management (E/M)
service appropriately?
A. Modifier 24
B. Modifier 25
C. Modifier 50
D. Modifier 59
Answer: B
Rationale: Modifier 25 indicates a significant, separately identifiable E/M service
performed on the same day as a procedure.
2. A medical biller receives a claim denial indicating the diagnosis code does not
support medical necessity for the procedure billed. What should be reviewed
first?
A. Patient address
B. Procedure charge amount
C. Diagnosis and procedure code linkage
D. Insurance card color
Answer: C
Rationale: Medical necessity denials often result from diagnosis codes that fail to
justify the reported service.
3. Which coding system is primarily used to report physician services and
procedures?
,A. ICD-10-CM
B. CPT
C. DRG
D. NDC
Answer: B
Rationale: CPT codes are used to report physician and outpatient procedures and
services.
4. A patient has primary and secondary insurance coverage. What billing process
should occur first?
A. Bill the secondary payer first
B. Submit to the primary payer before the secondary payer
C. Bill both simultaneously without coordination
D. Bill the patient immediately
Answer: B
Rationale: Coordination of benefits requires primary payer adjudication before
secondary billing.
5. Which document provides detailed information regarding services performed
during a patient encounter?
A. Explanation of Benefits
B. Medical record documentation
C. Insurance policy brochure
D. Deposit slip
Answer: B
Rationale: Medical record documentation supports coding and billing decisions.
6. A claim is denied because the patient's coverage terminated before the date of
service. This denial is primarily related to:
A. Coding accuracy
B. Eligibility verification failure
C. Modifier usage
D. Charge entry error
, Answer: B
Rationale: Eligibility should be verified before services are rendered whenever
possible.
7. What is the primary purpose of ICD-10-CM diagnosis codes?
A. Report supplies only
B. Explain why services were provided
C. Calculate payroll
D. Determine office hours
Answer: B
Rationale: Diagnosis codes communicate medical necessity and patient conditions.
8. A physician performs a bilateral procedure. Which coding issue should the biller
verify?
A. Patient age
B. Appropriate bilateral coding rules and modifiers
C. Facility location
D. Insurance deductible balance only
Answer: B
Rationale: Bilateral procedures may require specific coding conventions.
9. Which federal law established national standards for healthcare electronic
transactions and privacy protections?
A. COBRA
B. HIPAA
C. EMTALA
D. OSHA
Answer: B
Rationale: HIPAA established standards for privacy, security, and electronic
transactions.
10. A claim rejection differs from a denial because a rejection generally: