Accounts Receivable Associate Interview Questions and Answers for Freshers

Social media has advantages like connecting people and disadvantages like addiction and cyberbullying.

• Advantages: Connects people globally, promotes businesses, spreads awareness, provides entertainment

• Disadvantages: Addiction, cyberbullying, privacy concerns, misinformation, mental health issues

• Example: Social media helped in spreading awareness about COVID-19 and connecting people during lockdowns

• Example: Cyberbullying on social media platforms has led to mental health issu...read more

Coordination of benefits is a process used by insurance companies to determine the order of payment when a patient is covered by more than one insurance plan.

• Coordination of benefits helps prevent overpayment by ensuring that each insurance plan pays their fair share of the patient's medical expenses.

• The primary insurance plan is responsible for paying the majority of the costs, while the secondary plan covers any remaining expenses.

• Examples of coordination of benefits includ...read more

Accounts receivable is the money owed to a company by its customers for goods or services provided on credit.

• Accounts receivable represents the amount of money owed to a company by its customers.

• It is a current asset on the balance sheet.

• Companies typically create invoices for goods or services provided on credit, which then become accounts receivable.

• Accounts receivable is an important part of a company's working capital management.

• Monitoring and collecting accounts receivab...read more

Out of pocket refers to expenses paid by an individual that are not reimbursed by insurance or other sources.

• Out of pocket expenses are costs that are paid directly by the individual, without reimbursement.

• These expenses can include deductibles, copayments, and coinsurance for medical services.

• Out of pocket costs can also include expenses for services or products not covered by insurance.

• Individuals may have to pay out of pocket for certain medical treatments, prescription me...read more

An offset is a deduction or credit applied to an account to balance out a debt or obligation.

• An offset is used to reduce or eliminate a debt owed by applying a credit from another source.

• Offsets are commonly used in accounts receivable to reconcile payments and outstanding balances.

• For example, if a customer returns a product and receives a credit, that credit can be used as an offset against their outstanding balance.

• Offsets can also be used in tax situations to reduce the a...read more

Capitation is a payment arrangement in the healthcare industry where a provider is paid a fixed amount per patient regardless of the services provided.

• Capitation involves a fixed payment per patient per period of time, such as monthly or annually.

• Providers are responsible for delivering all necessary healthcare services to the patient within the fixed payment amount.

• It incentivizes providers to deliver cost-effective care and manage resources efficiently.

• Examples include heal...read more