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CMAA Review Practice Test | Volume 2: Advanced Operations
Capella University Edition
Section 1: Advanced Financial Management & Bookkeeping
1. When reconciling a bank statement, which of the following is considered an
"outstanding check"?
A) A check that has been cleared by the bank.
B) A check written by the office that has not yet been presented to the bank
for payment.
C) A check that was returned for non-sufficient funds.
D) A check received from an insurance company.
Elaboration: Outstanding checks must be subtracted from the bank statement balance
to reach the true adjusted balance.
2. Which of the following is the accounting equation used in medical bookkeeping?
A) Assets = Liabilities + Equity
B) Assets + Liabilities = Equity
C) Revenue - Expenses = Assets
D) Assets = Revenue + Profit
Elaboration: This is the fundamental balance sheet equation; assets are what the
practice owns, and liabilities are what it owes.
3. What is the purpose of an "Aging Report"?
A) To track the age of the employees.
B) To identify past-due accounts receivable based on how long they have
been outstanding.
C) To list the dates of birth of all patients.
D) To determine when medical equipment needs replacement.
Elaboration: Aging reports are usually broken down into 30, 60, 90, and 120-day
increments to prioritize collection efforts.
4. A "Write-off" is a type of:
A) Asset.
, B) Adjustment.
C) Liability.
D) Revenue.
Elaboration: A write-off is an adjustment that reduces the patient's balance, often due to
a provider's contract with an insurance company.
5. In bookkeeping, a "Debit" to an Accounts Receivable account signifies:
A) An increase in the amount owed to the practice.
B) A payment made by a patient.
C) A decrease in assets.
D) A refund issued.
Elaboration: In asset accounts like Accounts Receivable, a debit increases the balance.
6. What is "Truth in Lending" (Regulation Z)?
A) A rule about telling the truth in court.
B) A law requiring providers to disclose finance charges if a payment plan
involves more than four installments.
C) A regulation on how to bill Medicare.
D) A law about pharmaceutical pricing.
Elaboration: This protects consumers by ensuring they understand the total cost of
credit/financing.
7. Which of the following is a "Trial Balance"?
A) The amount left in petty cash.
B) A worksheet to ensure that total debits equal total credits in the ledger.
C) A bank statement.
D) A patient's credit score.
Elaboration: A trial balance is an internal check performed before preparing financial
statements.
8. What is the primary function of a "Day Sheet"?
A) To schedule lunch breaks.
B) To provide a chronological record of all daily financial transactions.
C) To list the doctor's surgeries.
, D) To track employee hours.
Elaboration: Every charge, payment, and adjustment made during the day must be
recorded on the day sheet for end-of-day balancing.
9. An "Endorsement" on a check is:
A) A thank you note.
B) The signature or stamp on the back of a check transferring ownership to
the bank.
C) The date the check was written.
D) The memo line.
Elaboration: Checks must be endorsed (usually "For Deposit Only") before they can be
deposited.
10. A "Restrictive Endorsement" is used to:
A) Allow anyone to cash the check.
B) Ensure the check can only be deposited into a specific account.
C) Pay for a specific bill.
D) Void the check.
Elaboration: This is the safest way to handle incoming checks to prevent theft.
Section 2: Advanced HIPAA & Data Security
11. Which HIPAA rule specifically addresses the protection of Electronic Protected
Health Information (ePHI)?
A) Privacy Rule.
B) Security Rule.
C) Enforcement Rule.
D) Omnibus Rule.
Elaboration: The Security Rule sets national standards for protecting health information
that is held or transferred in electronic form.
12. What is an "Audit Trail"?
A) A path to the records room.
B) A permanent record of who accessed an electronic file and what
changes were made.
CMAA Review Practice Test | Volume 2: Advanced Operations
Capella University Edition
Section 1: Advanced Financial Management & Bookkeeping
1. When reconciling a bank statement, which of the following is considered an
"outstanding check"?
A) A check that has been cleared by the bank.
B) A check written by the office that has not yet been presented to the bank
for payment.
C) A check that was returned for non-sufficient funds.
D) A check received from an insurance company.
Elaboration: Outstanding checks must be subtracted from the bank statement balance
to reach the true adjusted balance.
2. Which of the following is the accounting equation used in medical bookkeeping?
A) Assets = Liabilities + Equity
B) Assets + Liabilities = Equity
C) Revenue - Expenses = Assets
D) Assets = Revenue + Profit
Elaboration: This is the fundamental balance sheet equation; assets are what the
practice owns, and liabilities are what it owes.
3. What is the purpose of an "Aging Report"?
A) To track the age of the employees.
B) To identify past-due accounts receivable based on how long they have
been outstanding.
C) To list the dates of birth of all patients.
D) To determine when medical equipment needs replacement.
Elaboration: Aging reports are usually broken down into 30, 60, 90, and 120-day
increments to prioritize collection efforts.
4. A "Write-off" is a type of:
A) Asset.
, B) Adjustment.
C) Liability.
D) Revenue.
Elaboration: A write-off is an adjustment that reduces the patient's balance, often due to
a provider's contract with an insurance company.
5. In bookkeeping, a "Debit" to an Accounts Receivable account signifies:
A) An increase in the amount owed to the practice.
B) A payment made by a patient.
C) A decrease in assets.
D) A refund issued.
Elaboration: In asset accounts like Accounts Receivable, a debit increases the balance.
6. What is "Truth in Lending" (Regulation Z)?
A) A rule about telling the truth in court.
B) A law requiring providers to disclose finance charges if a payment plan
involves more than four installments.
C) A regulation on how to bill Medicare.
D) A law about pharmaceutical pricing.
Elaboration: This protects consumers by ensuring they understand the total cost of
credit/financing.
7. Which of the following is a "Trial Balance"?
A) The amount left in petty cash.
B) A worksheet to ensure that total debits equal total credits in the ledger.
C) A bank statement.
D) A patient's credit score.
Elaboration: A trial balance is an internal check performed before preparing financial
statements.
8. What is the primary function of a "Day Sheet"?
A) To schedule lunch breaks.
B) To provide a chronological record of all daily financial transactions.
C) To list the doctor's surgeries.
, D) To track employee hours.
Elaboration: Every charge, payment, and adjustment made during the day must be
recorded on the day sheet for end-of-day balancing.
9. An "Endorsement" on a check is:
A) A thank you note.
B) The signature or stamp on the back of a check transferring ownership to
the bank.
C) The date the check was written.
D) The memo line.
Elaboration: Checks must be endorsed (usually "For Deposit Only") before they can be
deposited.
10. A "Restrictive Endorsement" is used to:
A) Allow anyone to cash the check.
B) Ensure the check can only be deposited into a specific account.
C) Pay for a specific bill.
D) Void the check.
Elaboration: This is the safest way to handle incoming checks to prevent theft.
Section 2: Advanced HIPAA & Data Security
11. Which HIPAA rule specifically addresses the protection of Electronic Protected
Health Information (ePHI)?
A) Privacy Rule.
B) Security Rule.
C) Enforcement Rule.
D) Omnibus Rule.
Elaboration: The Security Rule sets national standards for protecting health information
that is held or transferred in electronic form.
12. What is an "Audit Trail"?
A) A path to the records room.
B) A permanent record of who accessed an electronic file and what
changes were made.
