write a technical accounting memo about accounts receivable adjustment for our annual audit. charges open for the 2019 year until Mid January and did not pull out December payments therefore these should have been accounted for in the original file causing the adjustment.

• To more easily comply with what we discovered in the audit, AR should be extracted for each entity twice monthly
  • Always on the morning of the 1st of the month (for March, please extract on 4/1).
  • After all charges have been posted later in the month
  • The purpose of the initial pull will be to bump up patient account #s and chargeIDs against the second AR list to determine the gap in AR: claims that were AR at the end of the month, but became zero balance during the time before charges were finished being posted. The claims that became zero balance after the fact will need to be added back and valued as additional AR.
• You need two components for each revenue file: the payment data and the AR data
• Payment Data
  • Notes:
    • Only limit payments by payment date. Expand date of service to include most recent month
      • Filter Charge amount for greater than zero
      • Filter DOS with Before Date (First day of following month) and After Date (1 year prior)
      • Filter Practice for the desired entity

• Updating the revenue reports
  • The GL Entries tab on all of the individual entity reports get these updates each month:
    • Update month in top left to current month
    • Update change in AR cell formulas to link to prior month workbook
    • Update prior month as reported formula to link to prior month workbook
    • Add actual volume for rev/exam
    • Add budgeted volume and budgeted imaging revenue
    • Add your payments in the payments or cash coll tab. Drag down the formulas in the columns to the right of payment amounts
    • Add your MI AR (final AR and then Additional AR accounts in the AR Valuation tab).
      • Drag down all of the yellow-highlighted formulas.
      • If insurance type shows an error, update the with a classification for that Payer Name (column C)
      • If Collection Rate for a line shows #ref, use the following collection rates for each entity:
      • Tab