CDEO Chapter 7 UPDATED ACTUAL
Exam Questions and CORRECT Answers
RBRVS - CORRECT ANSWER - Resource-Based Relative Value Scale
RBRVS System - CORRECT ANSWER - Established by Medicare to reimburse
physicians based on CPT code submitted for reimbursement
RVU - CORRECT ANSWER - Each CPT code has an assigned relative value unit which,
when multiplied by conversion factor and a geographic region allowance , creates the
reimbursement for the medical service the CPT code represents
RVU Components - CORRECT ANSWER - 1) Physician work- time, skill, training, and
intensity of service provided
2) Practice Expense - reflects the cost of ancillary personnel, supplies, and overhead
3) Professional Liability Malpractice Insurance
Using RBRVS - CORRECT ANSWER - CMS annually publishes Physician Fee Schedule
information on its website and posts the formula for calculating physician fee schedule amounts.
Physician Fee Amounts - CORRECT ANSWER - vary depending on facility vs non-
facility
Facility Practice RVU - CORRECT ANSWER - expenses include services performed in
emergency rooms , hospitals, SNFs, nursing homes, ASC.
Non Facility RVUs - CORRECT ANSWER - include services performed in non-hospital
owned physician practices and privately owned practices.
, GPCI - CORRECT ANSWER - Geographic Practice Cost Index
Geographic Prctice Cost Index - CORRECT ANSWER - is used to realize the varying cost
based on geographic location
CF - CORRECT ANSWER - Converstion Factor
Conversion Factor - CORRECT ANSWER - this is a fixed dollar amount used to translate
the RVUs into fees
Other Health Plans - CORRECT ANSWER - other than Medicare may choose not to use
the CMS calculations to determine provider reimbursement
Global Surgery Package - CORRECT ANSWER - The time, effort, and services required
to complete a procedure are bundled together to form a surgery package . Payment is made for a
package of services and not each individual service provided within the package.
CPT Surgery Package Description - CORRECT ANSWER - * Subsequent tot he decision
for surgery, E?M Services on the date immediately prior to or on the date of the procedure
including H&P
*Local Anesthesia: defined as local infiltration, metacarpal/metatarsal/digital block, or topical
anesthesia
* Operation Itself
* Immediate Post-Operative Care, including dictation of operative notes, talking with family and
other physicians
* Writing Orders
Exam Questions and CORRECT Answers
RBRVS - CORRECT ANSWER - Resource-Based Relative Value Scale
RBRVS System - CORRECT ANSWER - Established by Medicare to reimburse
physicians based on CPT code submitted for reimbursement
RVU - CORRECT ANSWER - Each CPT code has an assigned relative value unit which,
when multiplied by conversion factor and a geographic region allowance , creates the
reimbursement for the medical service the CPT code represents
RVU Components - CORRECT ANSWER - 1) Physician work- time, skill, training, and
intensity of service provided
2) Practice Expense - reflects the cost of ancillary personnel, supplies, and overhead
3) Professional Liability Malpractice Insurance
Using RBRVS - CORRECT ANSWER - CMS annually publishes Physician Fee Schedule
information on its website and posts the formula for calculating physician fee schedule amounts.
Physician Fee Amounts - CORRECT ANSWER - vary depending on facility vs non-
facility
Facility Practice RVU - CORRECT ANSWER - expenses include services performed in
emergency rooms , hospitals, SNFs, nursing homes, ASC.
Non Facility RVUs - CORRECT ANSWER - include services performed in non-hospital
owned physician practices and privately owned practices.
, GPCI - CORRECT ANSWER - Geographic Practice Cost Index
Geographic Prctice Cost Index - CORRECT ANSWER - is used to realize the varying cost
based on geographic location
CF - CORRECT ANSWER - Converstion Factor
Conversion Factor - CORRECT ANSWER - this is a fixed dollar amount used to translate
the RVUs into fees
Other Health Plans - CORRECT ANSWER - other than Medicare may choose not to use
the CMS calculations to determine provider reimbursement
Global Surgery Package - CORRECT ANSWER - The time, effort, and services required
to complete a procedure are bundled together to form a surgery package . Payment is made for a
package of services and not each individual service provided within the package.
CPT Surgery Package Description - CORRECT ANSWER - * Subsequent tot he decision
for surgery, E?M Services on the date immediately prior to or on the date of the procedure
including H&P
*Local Anesthesia: defined as local infiltration, metacarpal/metatarsal/digital block, or topical
anesthesia
* Operation Itself
* Immediate Post-Operative Care, including dictation of operative notes, talking with family and
other physicians
* Writing Orders
